Thu.Aug 5th , Aug 2021 12:11:17 PM
Total announces trading of shares in 338 MW of solar and wind assets

The stakes have been reported to be acquired by Banque des Territoires and Credit Agricole Assurances

One of France’s leading oil and gas companies- Total has recently announced its plans of selling out its stakes in the 338 megawatts of solar and wind farms to France-based Banque des Territoires and Credit Agricole Assurances. The value of the portfolio is deemed to be around USD 600 million.

According to the deal, Credit Agricole Assurances is set to take over a 50% stake of 285 MW wind and solar projects in Total’s power profile. The acquisition consists of 182 MW solar projects across 44 solar projects and 103 MW of wind energy projects across nine farms.

Meanwhile, Banque des Territoires- a Caisse des Depots subsidiary, is touted to acquire another 50% stake in 53 MW of solar capacity spread across eight solar farms situated in New Caledonia. Moreover, it has been reported that Total is also looking forward to building a renewables and power portfolio which is expected to account for up to 40% of its sales by 2050 end as a part of its 2050 net-zero carbon mission.

It would be pivotal to mention that the company’s power generation capacity accounted for 12 GW at the end of 2020, of which about 7 GW was consumed by renewable energy. Additionally, the oil and gas firm seeks to enhance its renewable portfolio to 35 GW by late 2025.

Commenting on the recent move, Senior VP Renewables, Total- Julien Pouget stated that these farm trades are the implementation of the business model the company has defined for the development and enhancement of renewable energies aiming to accomplish a target of over 10% return on equity.

While on the other hand, Credit Agricole Assurances Deputy CEO, Jean-Jacques Duchamp mentioned that the latest transaction aligns with the company’s strategy of being a long-term institutional investor. He added that this novel initiative is a fully integrated tactic that lines with the Credit Agricole Group’s climate assurances, in favor of a low-carbon and energy transition economy.

Source Credit: https://mercomindia.com/total-sells-stake-solar-wind-assets/

By Shreya Bhute

With corporate exposure in software and marketing, Shreya was always intrigued by content development. Having pursued her graduation in I.T. engineering, she works as a content writer for people.partilepep.com and jots down news articles across distinct domains including technology, business and healthcare.