MERGER MARKET ARTICLE ON SOLAR IN A TRUMP PRESIDENCY
“Over the past few years, private equity firms and hedge funds have been treating solar investment as the infrastructure play that it really is,” said David John Frenkil, Managing Director of Centennial Generating Co., a commercial solar developer.... Frenkil, a former Project Finance Attorney with Chadbourne & Parke, said any infrastructure bill under Trump’s administration would likely include solar power. That is due to the Republican president’s private enterprise-friendly motives, focus on creating new jobs, while solar has proven to be a job creator without the vocational training required of many shale industry and other fossil fuel jobs.
CNBC Africa: At no upfront cost, Centennial offers affordable, reliable and non-polluting power systems for customers. Our power systems integrate solar photovoltaic technology with battery storage systems. Instead of selling the equipment to our customers, we sell the power that is generated from the equipment.
Accelerator: Noting that the majority of solar investment in markets throughout the African continent is currently based in rural areas for pay-as-you-go solar kits in villages and large utility scale projects that sell electricity into the national grid, Founder and Managing Director of Centennial, David John Frenkil, said, “While these rural solar projects are extremely important for the region’s development, Centennial focuses on a currently under-addressed challenge for commercial and industrial customers in and near urban centers that need a more affordable and reliable power supply.”
The East African: "Instead of requiring upfront capital, Centennial is selling us the electricity generated by the solar system at a discount compared with our current power costs. This will allow us to dedicate more funds to our remembrance and peace education programs."
SNL Financial: The company said it is working with customers representing various sectors of Rwanda's economy, including hotels, office buildings, factories, mines, food distribution companies, health clinics and large residences.
Power Finance & Risk: "The U.S. solar market is long on capital and short on deals. The competitive environment is driving down expected investor returns in the contiguous 48 states. This is coupled with the ability of certain solar investors to tap relatively low-cost financing from the capital markets, especially at a time when U.S. solar incentives are, at best, awkward, arcane and perverse... [In growth markets,] investors can currently achieve unlevered returns in the mid-teens or higher."
SNL Financial: "We were attracted to Rwanda's good governance, rule of law and ... we were looking for a market where we can establish a long-term presence, bring local workers onto our team and add value in terms of offering reliable and affordable access to electricity in a way that reduces emissions."