Lightsource will be rebranded as Lightsource BP and BP will have two seats on the board
NEW DELHI: BP will invest $200 million in Europe’s largest solar development company, Lightsource, over three years for picking up 43 per cent stake in the business. According to a company statement, Lightsource will be rebranded as Lightsource BP and BP will have two seats on the board of directors.
Under the terms of the agreement, BP will pay Lightsource $50 million on completion of the agreement, with the balance will be paid in instalments over three years. Completion of the agreement is expected in early 2018.
BP group chief executive Bob Dudley said: “Our history in the solar industry was centered on manufacturing panels. Lightsource BP will instead grow value through developing and managing major solar projects around the world.”
According to BP’s Statistical Review of World Energy, the installed solar generating capacity of the world has more than tripled in the past four years, growing by over 30 per cent in 2016 alone. BP’s Energy Outlook analysis expects solar energy to generate around one third of the world’s total renewable power and up to 10 per cent of total global power by 2035.
BP has existing alternative energy business, which includes wind energy, biofuels and biopower. BP Wind Energy has interests in onshore wind energy across the US with a total gross generating capacity of 2.3GW. BP Biofuels has world-scale plants in Brazil, which produce around 800 million litres of ethanol equivalent per year as well as generate low-carbon power for Brazil’s national grid, the statement added.