Gaelectric Expands to Biomass: Imperative Energy Acquisition Highlights
Irish renewable energy group Gaelectric has announced the acquisition of biomass energy solutions provider Imperative Energy Ltd for an undisclosed sum.
Founded in 2007, Naas-based Imperative Energy has completed over 70 biomass installations in Ireland and the UK totaling over 40MW in energy capacity, with ten (10) projects currently under construction.
In addition, the company has installations in place at Government Buildings in Dublin, and a district heating system for all Irish State buildings between Kildare Street and Merrion Street, Dublin.
“We view this as an important strategic step for Gaelectric that provides us with diversification across renewable energy sectors and access to significant growth opportunities in a biomass market that is continuing to evolve,” said Gaelectric CEO Brendan McGrath. “Just 2pc of the 60 million TOE (tonnes of oil equivalent) UK heat market, with 28 million TOE in commercial and industrial buildings, is currently provided by biomass.
However, the continuing focus on sustainability, energy security, and costs, and the supportive policy environment towards biomass, particularly in the UK, assures us that the fundamentals for the growth of the biomass sector are already in place.
“However, it is ultimately the value that the Imperative Energy business will deliver to the Gaelectric Group through their core offering, project revenues, market positions, reputation, knowledge, and skills that convinced us of the need for them to join Gaelectric.”
Gaelectric said the acquisition gives it an established presence in four key renewable energy sectors, namely onshore wind on the island of Ireland and the USA, offshore wind in the Irish Sea, energy storage, and biomass energy.
“Over the last 20 months, Gaelectric has secured over €155million in debt facilities, which have allowed us to accelerate the transition of our development projects to operating assets, particularly in onshore wind,” said McGrath. “We are also starting to see operating revenues from our wind assets make a significant contribution to group revenues. Our financial position has also helped us strengthen our positions in our existing markets and enter new markets, such as the biomass sector, through acquisitions such as the Imperative Energy Ltd acquisition we are announcing today.”