This major equity stake complements its portfolio on renewables
The solar-power market is becoming popular for its clean and low-cost energy
Alstom, a European equipment and services company for power generation, has entered the high-growth solar market by investing $55 million in BrightSource Energy Inc, a move which complements its portfolio in renewables.
The equity stake, which is part of a capital increase of $150 million organised by BrightSource, a provider of clean, reliable and low-cost solar energy, makes Alstom one of the former’s main shareholders.
“Alstom’s investment in BrightSource illustrates the important role of our Luz Power Tower technology in meeting global demand for highly efficient, reliable and carbon-free energy resources,” said John M Woolard, CEO and president of BrightSource.
BrightSource plans to build 14 solar power plants in the US southwest by 2016, to the meet the demand for 2,600 MW from Calfornia’s two largest utilities, PG&E and Southern California Edison.
It has an ongoing power project in San Bernardino County, California. The 392 MW Ivanpah Solar Energy Generating System, BrightSource’s first project in the US, will power more than 140,000 homes and reduce carbon-dioxide emissions by over 400,000 tonnes per year.
In a statement, Alstom said the US Department of Energy made conditional commitment for more than $1.3 billion in loan guarantees for the Ivanpah project.
BrightSource’s technology involves thousands of mirrors that reflect sunlight onto a central receiver atop a tower. This produces high temperature steam that is piped to a stream turbine and generator, which produces electricity.
Alstom remarked, “Because BrightSource’s tower technology can operate at the highest steam temperature ranges, the system benefits from the highest efficiency, performance and therefore lowest cost-per-MW among solar technologies.”
Alstom is a world leader in power generation. Their commercial and industrial capabilities and our shared commitment to innovation and environmental leadership make this a natural fit. We welcome Alstom and we look forward to building on this relationship as we continue to grow the US solar market and expand internationally.”
