Power partnership: Standard Bank and co launch renewable energy platform

Bruce Whitfield interviews Andy Louw, principal in Stanlib's Infrastructure Investments Franchise.

"A groundbreaking partnership (is) poised to change SA's energy landscape"

That's the heading for a press release announcing a business partnership to establish a renewable energy platform called 'Lyra Energy', which targets the private sector.

Standard Bank is one of the partners, along with its asset management arm Stanlib and renewable energy outfit Scatec.

The new entity will offer distributed access to 'high-quality, affordable and predictable utility-scale renewable energy', for medium and large commercial and industrial players.

Lyra Energy explains in a press release how the system will work:

"Lyra’s aggregator model will fund, build, own, and operate generation assets. The energy from these projects will be transmitted (or ‘wheeled’) to multiple off-takers, across the national grid. Private sector customers or off-takers can expect increasing savings over time."

Bruce Whitfield interviews Andy Louw, principal in Stanlib's Infrastructure Investments Franchise.

They examined similar structures that are already out in the market, and then tried to improve on these says Louw.

"We're bringing together three unique organisations... and taking the best from all of those institutions to try and create a low-risk private energy platform that can try and service some of the unserviced market that exists in South Africa."

"The low-risk part of it is the three entities who've created Lyra, and will build Lyra out in the market. These entities put together all the component parts required to make it a low execution risk for corporate SA to partner with us, to provide their energy requirements."

Andy Louw, Principal in Infrastructure Investments Franchise - Stanlib

Louw gives the assurance that for the immediate build-out of Lyra, there is more than sufficient grid capacity right now.

The NEW grid required in South Africa is extensive and ten years in the making he adds, saying that will be for the next generation of projects.

"Through Stanlib, we're invested in more than 20 utility-scale renewable energy  projects... and our experience of owning and managing those projects in the last 10 years is that the existing grid and infrastructure in South Africa is excellent..."

Andy Louw, Principal in Infrastructure Investments Franchise - Stanlib

For more, listen to the interview audio at the top of the article