BRUC adds another 946 MW to its portfolio of assets in operation and construction
December 18, 2023.- BRUC has connected 154 megawatts (MW) to the transmission network, bringing it to 1,066 MW in commercial operation. To these operational plants, we are adding 792 MW of assets whose construction contracts have been signed this week. In this way, BRUC now has 1,858 MW of photovoltaic solar energy in operation and construction. The three plants that make up the Cartago II complex, with an installed power of 154.6 MW, located in the municipalities of Utrera and Alcalá de Guadaira (province of Seville), have just been connected to the transmission network. These plants will generate 307,075 MWh and will avoid the emission of 81,990 tons of CO2 per year Cocurrentlly, the BRUC team has signed construction contracts for several plants in Aragon and Andalusia totalling 792 MW. These are Cartago B (municipalities of Alcalá de Guadaira, Utrera and Los Morales, in Seville), Gazules (municipality of Alcalá de los Gazules, in Cádiz), Trévago (municipalities of Trévego, Castilruiz and Fuentestrún, in the province of Soria) and Aguasvivas (Moneva, in Zaragoza). BRUC’s total portfolio amounts to 8,500 MW, of which 8,400 MW are located in the Iberian Peninsula and 100 MW in Japan. Recently, BRUC signed a financing agreement with seven entities for an amount of 600 million euros. This amount guarantees a substantial part of the contributions necessary for the investment in the construction and development of a portfolio of solar photovoltaic and wind generation plants in Spain. About BRUC BRUC is one of the largest and most dynamic renewable energy groups in Spain. Founded by businessman Juan Béjar, the current shareholders are OPTrust, USS and Interogo Holding. BRUC believes that an energy transition towards a decarbonized economy is urgently required. Part of this transition rests on the development of clean energies, whose contribution to the countries’ energy systems must increase. BRUC’s mission is to generate attractive investment opportunities in the field of renewable energy and manage assets with the aim of contributing to the sustainability of energy supply systems, whilst substantially reducing their environmental impact. BRUC’s assets are located in Spain and Japan. In the Iberian Peninsula it has 8,400 MW between solar photovoltaic and wind plants, all of them with access granted to the transmission network, while in Japan it manages 100 MW of solar generation. The presence in Japan dates back to the beginning of BRUC’s activity, which identified investment opportunities in a market with regulatory guarantees on income from clean energy generation activity. For more information: José Manuel Velasco jmvelasco@BRUCmanagement.com (+34) 654315520
Bruc, the green energy group, agrees a corporate financing of € 600 million for the construction of its 8,500 MW portfolio in Spain
Santander, ING, Instituto de Crédito Oficial, BNP Paribas, Intesa Sanpaolo Schroders Capital and Infranity, lend the funds to the group founded by Juan Béjar which shareholders are OPTrust, USS and Interogo. Recently Interogo acquired 49% of the company that brings together the plants already operational and in the advanced phase of construction. September 25, 2023.- Bruc, the green energy group based in Madrid, has signed a financing agreement with seven entities for an amount of 600 million euros. This amount guarantees a substantial part of the contributions necessary for the investment in the construction and entry into operation of a portfolio of solar photovoltaic and wind generation plants in Spain totaling 8,500 megawatts (MW). The entities participating in this corporate financing package are Santander, ING, Instituto de Crédito Oficial, BNP Paribas and Intesa Sanpaolo, as bookrunners and MLAs, and Schroders Capital and Infranity, as MLAs. Astris Finance has acted as financial advisor, Allen & Overy as legal advisor to Bruc, and Linklaters as legal advisor to the funders. The financing agreement has been substantiated under the “corporate sustainable financing” formula, given that the entities have considered ESG (Environmental, Social and Governance) criteria. Bruc’s positioning in the clean energy sector was already key for OPTrust and USS pension funds to enter the company’s capital in 2016 and 2021, respectively. More recently, past June, Interogo Holding (IH), via its infrastructure investment fund Inter Infrastructure Capital (IIC), entered an agreement to acquire 49 % of a 1,066 megawatts (MW) portfolio of operational and under construction solar photovoltaic generation assets within the BRUC group. Its strategy is to acquire stakes in infrastructure companies that provide essential services to society, are recession-resistant and offer downside protection through stable and predictable cash flows. With these contributions, Bruc will finance from the group’s parent company the construction of renewable generation plants totaling 8,500 MW in the regions of Aragón, Andalusia, Extremadura, Castilla-La Mancha and Castilla y León. Thanks to hybridization processes, this portfolio of assets includes solar photovoltaic and wind generation plants. Bruc is also developing several renewable energy storage projects. Juan Béjar, president of Bruc, views this operation “as the closing of a virtuous circle that will allow us to execute one of the most ambitious renewable generation projects in Spain.” The businessman believes that the energy transition must be accelerated, “for which it is essential that we have a stable and predictable regulatory environment and that transport infrastructures be developed both in Spain and in Europe that allow us to take advantage of our natural resources, reduce dependence on primary energies and offer attractive and competitive prices to industry and consumers.” “This is how the financial entities that accompany us on this journey towards a decarbonized economy understand it,” he concludes. About Bruc Bruc is one of the largest and most dynamic renewable energy groups in Spain. Founded by Juan Béjar, the shareholders are made up of the OPTrust, USS pension funds and Interogo. It currently has 8,600 MW, of which 1,100 are already operational and in the advanced construction stage. Bruc considers that an energy transition towards a decarbonized economy is urgently required. Part of this transition rests on the development of clean energies, whose contribution to the countries’ energy systems must be increasing. Bruc’s mission is to generate attractive investment opportunities in the field of renewable energy and manage assets with the aim of contributing to the sustainability of energy supply systems and substantially reducing their environmental impact. Bruc’s assets are located in Spain and Japan. In the Iberian Peninsula it has 8,500 MW between solar photovoltaic and wind plants, all of them with access granted to the transmission network, while in Japan it manages 100 MW of solar generation. The presence in the Asian country dates back to the beginning of Bruc’s activity, which identified investment opportunities in a market that regulatory guarantees income from clean energy generation activity. For more información: José Manuel Velasco jmvelasco@brucmanagement.com (+34) 654315520
Interogo Holding becomes an investor in a portfolio of over 1 GW of operating and under construction assets owned by BRUC
BRUC, the renewable energy company founded by Juan Béjar, has incorporated a new partner for its solar photovoltaic generation assets. For BRUC, the addition of Interogo Holding at asset level will further supplement the financial strength provided by its existing shareholders OPTrust and USS in the broader BRUC group. Interogo Holding, via its infrastructure investment fund Inter Infrastructure Capital (IIC), has entered an agreement to acquire 49% of a 1,066 megawatts (MW) portfolio of operational and under construction solar photovoltaic generation assets within the BRUC group. As usual, the transaction is subject to certain regulatory approvals and other customary closing conditions. With this transaction, Interogo Holding, investing at asset level, joins OPTrust and Universities Superannuation Scheme (USS), which are already investors within the broader group. Santander and JP Morgan have acted as financial advisors and Linklaters as legal, on BRUC’s side. BRUC is a renewable energy company founded in late 2015 by Juan Béjar. At present the group manages a portfolio of 8,500 MW in Spain. Shortly after, OPTrust joined the shareholding of the company. OPTrust is one of Canada’s largest pension funds with assets under management of around C$25bn (at 31 Dec 2022) and manages the OPSEU Pension Plan, a defined benefit plan with over 106,000 members. OPTrust is a global investor in a broad range of assets including Canadian and non-Canadian equities, fixed income, real estate, infrastructure and private equity. USS joined OPTrust as an investor in the group in May 2021. Universities Superannuation Scheme (USS) was established in 1974 as the principal pension scheme for universities and higher education institutions in the UK. USS works with around 330 employers to help build a secure financial future for more than 500,000 members and their families. We are one of the largest pension schemes in the UK, with total assets of around £90.8bn (at 31 March 2022). Interogo Holding is a foundation-owned investment group and its infrastructure strategy is advised by IH Infrastructure Advisors. The team targets direct investments, mainly in Europe, across the infrastructure sector. The strategy is to acquire holdings in infrastructure companies that provide essential services to society, are recession resilient, and offer downside protection through stable and predictable cash flows. Interogo Holding’s infrastructure investments are made by its investment fund Inter Infrastructure Capital (IIC), managed by Inter Fund Management, and advised by IH Infrastructure Advisors. BRUC’s Chairman, Juan Béjar, considers that “the incorporation of a world-class shareholder such as Interogo Holding demonstrates, on the one hand, BRUC’s capacity to create value and, on the other, the confidence of investors with a long-term vision in the ambitious growth project “. In his opinion, “having investors such as OPTrust, USS and Interogo Holding gives us the financial strength we need to continue creating a great leader in renewable energy“. For more information José Manuel Velasco jmvelasco@brucmanagement.com (+34) 654315520
Bruc acquires six new solar photovoltaic power plants of Opdenergy totalling 384MW
These projects are in addition to the 278MW already in Bruc’s hands, which have been handed over in recent months. With the delivery of these plants, Opdenergy has transferred a total of 662MW to Bruc The transfer of these new projects is part of the agreement signed in 2021 whereby Bruc Energy undertook to acquire projects totalling 1,101 MW The development of the remaining 439MW (of which 107MW have an EIS or draft) is progressing on schedule and will be transferred to Bruc according to the agreed timetable 22th December 2022.- Bruc acquires six new solar photovoltaic power generation plants of Opdenergy totalling 384MW. These assets are part of the 1,101 MW portfolio agreed between the two companies last year. Bruc has acquired solar photovoltaic power plants located in the provinces of Cádiz, Zaragoza, Teruel and Palencia, with a capacity of 116, 60, 114 and 94 megawatts (MW), respectively. These 384 MW are in addition to the 278 MW already acquired in previous transactions, corresponding to plants in the provinces of Seville, Soria and Zaragoza. With this delivery, Opdenergy has transferred a total of 662MW to Bruc. All these operations are part of the agreement reached between Bruc and Opdenergy in August 2021 for the sale and purchase of 20 solar photovoltaic power generation plants totalling 1,101 MW. The development of the remaining 439MW (of which 107MW have an EIS or draft) that remains to be handed over to Bruc is progressing on schedule and will be transferred according to the agreed timetable. About Opdenergy Opdenergy is an independent renewable energy producer, or IPP, in Europe, the United States and Latin America with more than 15 years of experience. The company develops, builds, finances, manages and operates high quality renewable energy projects in several countries. Opdenergy has a portfolio of 1.8GW of assets in operation and under construction. In addition, Opdenergy has an additional portfolio of projects in different stages of development of around 12GW that support its growth strategy. Opdenergy plays an important role in the decarbonisation of energy in the different countries in which it operates. It is present and has projects in the pipeline in five European markets (Spain, Italy, United Kingdom, France and Poland), in the United States and in three Latin American markets (Chile, Mexico and Colombia). Opdenergy has been listed on the Spanish continuous market since July 2022 (BME:OPDE). About Bruc Bruc is one of the largest and most dynamic renewable energy groups in Spain. Its shareholders are the pension funds OPTrust and USS and the businessman Juan Béjar. It currently owns 8,600 MW with access rights to the transmission grid, of which 1,100 MW are already operational and at an advanced stage of construction. Of the remaining 7,500 MW, 4,300 MW already have an environmental impact statement. Bruc believes that an energy transition towards a “decarbonised” economy is urgently required. Part of this transition relies on the development of clean energies, whose contribution to countries’ energy systems must be increasing. Bruc’s mission is to generate attractive investment opportunities in the field of renewable energies with the aim of contributing to the sustainability of energy supply systems and substantially reducing their environmental impact. For more information: BRUC José Manuel Velasco jmvelasco@brucmanagement.com +34 654315520 KREAB Eva Tuñas etunas@kreab.com Tlf. +34 635 18 64 19 Ana Cabirta acabirta@kreab.com Tlf. +34 691 43 08 90 Gonzalo Torres gtorres@kreab.com Tlf. +34 610 275 845[/vc_column_text][/vc_column][/vc_row]
Bruc is awarded with 100 MW of solar capacity in the second renewable energy auction of the Spanish Government
Madrid, October 2021.- Bruc, the renewable energy group chaired by Juan Béjar and participated by the pension funds OPTrust and USS, has been awarded 100 MW of photovoltaic solar energy generation in the second auction for the granting of the economic regime of renewable energies called by the Secretariat of State of Energy, of the Ministry for the Ecological Transition and the Demographic Challenge. The capacity granted to Bruc corresponds to several lots totaling 100 MW. These lots are part of the 5,000 MW that the group currently has in its portfolio, out of which 100 MW are already in operation, 210 MW under construction, 544 MW about to start the construction phase, and the rest in different stages of development. Juan Béjar, president of Bruc, states that “the prices reached in the auction show that renewable energies are the most structurally efficient mechanism to reduce the cost of energy and, of course, to contribute to the decarbonization of the energy system.” According to the Ministry for the Ecological Transition, the auction has been resolved with an average price of 30.6 euros per MWh for the 3,300 MW awarded, 170.8 euros per MWh less than today’s (October 20) average price in the wholesale market (201.4 euros per MWh). The auction system is one of the actions decided by the Government of Spain to contain the rise in electricity prices, that is already having an impact in the bills paid by domestic and industrial consumers. In addition to taking part in auctions, renewable energy promoters contribute with their investments to stabilize the price of energy in the short, medium and long term, since, in most cases, they sign Power Purchase Agreements (PPA) at an average price of 45 MWh and for an average period of 15 years. Media relationships José Manuel Velasco jmvelasco@brucmanagement.com Tel +34 654315520
Three takeaways of an electrizing summer
This summer has been extremely hot for energy consumers in Spain due to the shocking rise in prices, especially in the electricity rate. In fact, August accumulates two records: i) it was the month with the most expensive electricity in history (105.94 euros per MWh), which tripled the average price of August 2020, and ii) the MWh reached its highest price on the 31st of August with a record of 130 euros per MWh, although such record was again exceeded in the first days of September in an upward trend that will continue well into 2022 and that is already affecting the current levels of inflation. In addition to the general concern about the increasing prices of electricity, this summer people have realized that climate change is not an issue affecting only others but that it is already present in our daily lives: heat waves with record temperatures, floods from strong storms, serious forest fires, advance of desertification… The Intergovernmental Group of Experts on Climate Change (IPCC) of the United Nations has declared that the Earth is in ‘code red’ due to the need to drastically reduce the emissions of greenhouse gases to avoid a rise in temperatures of more than two degrees Celsius above pre-industrial levels. As the increase in the natural gas prices is one of the reasons for the high prices of electricity, we have once again become aware of Spain’s high dependency on the imports of primary energy sources. We import 73% of the energy we consume, a percentage that goes up to 99% in the case of natural gas. From this current scenario we can reach three conclusions: Spain urgently needs to reduce its dependency on primary energies. The fastest way to do it is by taking advantage of Spain’s resources -sun, wind, and water- and betting on energy efficiency. The implementation of renewable energy can be accelerated. Proof of this is that Red Eléctrica de España (REE) has granted permits for wind and solar plants for an aggregate of 147.1 GW that are not yet in operation, with an additional 24.7 GW currently immersed in the concession process. This permitting bottleneck must be eliminated to accelerate the entry into operation of clean energies that will replace those that burn fossil fuels. In the medium and long term, clean energies that enter into the system will help to lower the price of electricity. In the short term, a decrease in the electricity prices is almost impossible without regulatory changes. One alternative would be to eliminate the “windfall profits” received by nuclear companies and, in particular, by hydropower generation companies. Meanwhile, as citizens, let us remember that the best way to fight climate change and, additionally, to reduce our energy bill, is to be more efficient in the use of energy.
Bruc acquires a porfolio of 1,044 MWs solar PV from Opdenergy
The 20 solar plants covered by the transaction have grid access and will continue their development until ‘Ready to Build’ phase is reached during the second half of 2022. The income generated from this sale will provide Opdenergy with the necessary funds to reach over 1,500 MW in operation and under construction during the first half of 2022, and to advance with the rest of its 6,000 MW pipeline. With this acquisition, Bruc Energy accumulates more than 5,000 MW in operation, construction, and development. Madrid, 9th August 2021. Opdenergy, an independent sustainable energy producer focused on solar photovoltaic and onshore wind technologies, has reached an agreement to sell 20 solar projects in Spain with a total capacity of 1,044 MW to Bruc Energy, an asset manager in the renewable energy sector. As part of this transaction, Opdenergy will continue to develop the projects until all of them reach Ready to Build (RtB) phase, which is expected to take place in a staggered manner during the second half of 2022. The solar plants included in the transaction are located in the provinces of Cádiz, Zaragoza, Valladolid, Burgos, Teruel, Seville and Soria. The sale of these assets will provide Opdenergy with the necessary funds to develop its backlog pipeline, which comprises 942MW in Spain and USA. With a total capacity in generation by the end of 2021 of 585 MW in Spain, Mexico, Italy and Chile, plus the development of these backlog assets, Opdenergy will accumulate a total capacity of more than 1,500 MW in operation and construction during the first half of 2022. With this purchase, Bruc Energy, one of the investment arms of Bruc Management, exceeds 5,000 MW in operation, construction, and development. The presence of OPTrust and USS funds in its shareholding structure ensures the financing of the projects and makes Bruc Energy one of the most important investors in the renewable energy sector in Spain. Besides the sale of these 1,044 MW and the over 1,500 MW that Opdenergy will have in operation and under construction by the first half of 2022, Opdenergy has more than 6,000 MW of projects at different development stages, which highlight the quality and credibility of the company’s pipeline. These include ca. 1,900 MW of plants at an advanced stage of development and a further 4,000 MW of identified projects in Spain, Italy, the US, Chile and the UK, among others. This transaction substantially strengthens the company’s capital structure and will enable the execution of its business plan, as well as significantly increase the expected EBITDA for 2022, year in which the transfer of the assets to Bruc Energy will be executed. This operation, together with other recently announced transactions, including the signing of a PPA with a German utility for 362 MW, the 253 MW of PPAs signed in the US, as well as the mandate signed with BBVA to secure financing of up to 500 million euros, including project finance debt and the relevant guarantees, provide Opdenergy with enough capacity to build the projects in its backlog category and reach more than 1,500 MW in operation and under construction by the end of the first half of 2022. On the other hand, the company continues to execute its business plan with the objective of becoming a large-scale IPP in Europe and the Americas. Furthermore, the sale of these assets to Bruc Energy does not imply that, in the future, and if the market conditions are favorable, the company may initiate a new feasibility study to assess the possibility of resuming a potential IPO to obtain additional funds to continue financing its growth. Luis Cid, CEO of Opdenergy, said: “We thank Bruc Energy for the trust placed in Opdenergy. We have once again demonstrated our ability to negotiate financing alternatives for our business model and the quality of our project portfolio. This agreement is a very important milestone for us and our company, as it will allow us to continue developing new clean energy projects and to continue executing our business plan.” Juan Béjar, President of Bruc Energy, states: “With a portfolio of assets totaling more than 5,000 MW, Bruc Energy has positioned itself as one of the most relevant and dynamic players in the green energy sector in the Iberian Peninsula.” And he adds: “The agreement with Opdenergy demonstrates our capacity to generate value in the process of decarbonization of the economy and to take advantage of the acceleration in the substitution of fossil energies that the fight against climate change requires.” About Opdenergy Opdenergy is a consolidated and fully integrated independent sustainable energy producer, focused on PV solar and onshore wind energy production with more than 15 years of experience. The company has successfully developed several projects in different regions of the world, thanks to its strong international presence. Opdenergy is present and has projects under development in Europe – Spain, Italy, United Kingdom, France and Poland – and in America – United States, Chile and Mexico. The company has an established portfolio of 584 MW, including assets in operation and under construction, together with a robust and visible future portfolio of 7GW to support its growth. In addition, Opdenergy has demonstrated its strong ability to secure PPA contracts well before assets are operational and represents a total of 1.2GW of signed power purchase agreements covering all its existing assets and over 600 MW of future projects, across the different countries in which it operates. About Bruc Energy Bruc Energy is Bruc Management’s investment platform for Spain and Portugal. Bruc Energy’s shareholders include pension funds OPTrust and USS and the businessman Juan Béjar. The company already has a portfolio of more than 5,000 MW of solar PV in operation, construction and development. BRUC ENERGY José Manuel Velasco jmvelasco@brucmanagement.com Phone +34 654315520
Bruc increases in 20 MW its solar photovoltaic assets in Japan
The agreement signed with IBC SOLAR expands its portfolio to 60 MW in the Asian market. May 31, 2021.- Bruc, the renewables energy group managed by Juan Béjar, has signed an agreement with IBC SOLAR, a global leader in photovoltaic (PV) systems and energy storage, to develop a portfolio of 20 MW of solar photovoltaic energy in Japan. With this transaction, Bruc Japan portfolio amounts to 60 MW in operation, construction, and development status. Bruc Japan, the investment vehicle of Bruc Management for the Japanese market, has signed an agreement with the German company IBC SOLAR to build 16 solar photovoltaic plants in several locations of the Japanese territory, with a total installed capacity of 20 MW. This agreement will require an investment of 40 million euros for the plants to be built and come into operation. The plants are under a fixed price scheme (feed-in-tariff) that guarantees stable revenues for the energy produced for 20 years. Japan is at the origins of Bruc Management. It is an attractive market for regulatory and economic reasons. In fact, it is one of the few countries in the world to keep a fixed price scheme for the retribution of renewable-generated electricity. Moreover, it supports small and medium distributed generation facilities that serve local communities and businesses. With this transaction, Bruc continues with its growing process in the Iberian and Japanese markets. Recently, Universities Superannuation Scheme (USS), the largest private pension scheme in United Kingdom in terms of assets, acquired a 50% stake in Bruc Energy, the investment vehicle focused on renewable energies in Spain and Portugal that was created by the Canadian pension fund OPTrust and the Spanish businessman Juan Béjar. With a consolidated portfolio of 4,000 MW, Bruc Energy has an ambitious growth plan that goes beyond these 4,000 MW and that looks at investing not only in solar but also in other green energies, such as wind power. IBC SOLAR Since its establishment in 1982, IBC SOLAR has become one of the leading provider of photovoltaic and energy storage solutions and services. The company has implemented around the world photovoltaic systems with a capacity of 5,4 gigawatts and is represented in more than 30 countries with local presence, partners, and several projects. IBC SOLAR offers complete systems and covers the entire product range from planning to the turnkey handover of photovoltaic systems. Its business ranges from solar parks which feed electricity into the grid and self-consumption systems for business owners and private households to off-grid PV systems and local storage systems. For more information about IBC SOLAR, please visiti https://www.ibc-solar.com/corporate/about-us/ For more information about Bruc, please visit www.brucmanagementprojects.com/ PR contact: José Manuel Velasco, jmvelasco@brucmanagement.com Phone number: +34 654315
USS Invests €225m for 50% stake in 4,000 MW spanish solar energy platform Bruc Energy
London-Madrid, May 17, 2021.- The Universities Superannuation Scheme (USS), the largest private pension fund in the United Kingdom by assets, has taken a 50% stake in Bruc Energy, a Spain and Portugal renewables-focussed investment vehicle created by Canadian pension fund OPTrust and the Spanish businessman, Juan Béjar. In the transaction arranged by USS Investment Management, the wholly-owned subsidiary and principal investment manager and advisor to the Scheme, USS has invested €225M (c.£200m) in return for the stake in a major pipeline of 4000 MW of solar photovoltaic (PV) farms. Bruc Energy has an ambitious growth plan that goes beyond this to invest in other green energies, such as wind power. USS already has a strong relationship with both OPTrust and Juan Bejar through Globalvia, a specialist infrastructure platform focussed on managing rail and highways assets around the world. Spain’s long days of sunshine and a national target to reach 100% renewable-based generation by 2050 make it an attractive place to invest in solar energy. In addition, the decades long lifespan of solar PV panels make them well-suited to USS in helping pay members’ pensions long into the future. USS Investment Management CEO, Simon Pilcher, said: “We are delighted to be committing further finance to renewables and particularly to a major Spanish solar platform like this. We have already invested or committed around £1 billion to renewable energy and demand for this will only increase as more and more countries transition to lower carbon. We know that our members care very much about climate change and ESG and we are convinced that USS playing its part in supporting the transition to a low carbon economy makes good financial sense, too. This announcement closely follows on from our stated ambition to become Net Zero by 2050 so this transaction and others like it will be a key plank of our strategy going forward.” Gavin Merchant, Co-Head of Direct Equity, said: “We have worked alongside OPTrust and Juan Béjar for many years and are delighted to be making this investment. The long-term nature of solar and the steady returns make renewables attractive to a pension scheme needing to pay pensions for years to come.” OPTrust’s Morgan McCormick, Managing Director, Private Markets Group UK said: “We are excited to have USS join Bruc Energy building on our strong existing relationship. Their investment will help Bruc become one of the leading renewable energy platforms in Spain. At OPTrust, we believe that investing in renewable energy helps transitions the world to a more sustainable economy. In doing so, we can continue to deliver on our mission of paying pensions today and preserving pensions for tomorrow.” Juan Béjar said: “This partnership is a key step to establishing Bruc as one of the more dynamic players in the renewables industry in Spain, because it ensures access to the funds to develop our current portfolio. All three shareholders of Bruc Energy share a long-term vision, but also the ambition and the social responsibility to counter the effects of climate change in the short-term.” Following the transaction, which remains subject to conditions, including regulatory approval, Bruc Energy will be owned 50% by USS and BROP, a vehicle owned by OPTrust and Béjar. The transaction was advised by Royal Bank of Canada (RBC), Greenhill and Nomura. Juan Béjar will be the president of Bruc Energy and Luis Venero the CEO. Notes to Editors: USS Universities Superannuation Scheme (the “Scheme”) was established in 1974 as the principal pension scheme for universities and other higher education institutions in the UK. It has more than 400,000 members across more than 340 institutions and is one of the largest pension schemes in the UK, with total fund assets of around £68 billion (as at 31 March 2020). USS Investment Management Limited provides in-house investment management and advisory services in respect of the assets of the Scheme. USS is an active investor in renewables and infrastructure in the UK and globally and holds investments in multiple companies including Thames Water, Globalvia and L1 Renewables. For more information on Universities Superannuation Scheme please go to www.uss.co.uk. OPTrust With net assets of over $23 billion, OPTrust invests and manages one of Canada’s largest pension funds and administers the OPSEU Pension Plan (including OPTrust Select), a defined benefit plan with over 98,000 members. OPTrust is a global investor in a broad range of asset classes including Canadian and foreign equities, fixed income, real estate, infrastructure and private equity, and has a team of highly experienced investment professionals located in Toronto, London and Sydney. For more information on OPTrust, please go to www.optrust.com Juan Béjar With a degree in Law and Business Administration from the Universidad Pontificia Comillas de Madrid (ICADE), Juan Béjar is the founder and executive president of Bruc Management, a company that today has international investors with the purpose of managing an international portfolio of assets in the field of energy renewable. Until July 2015 he was vice president and CEO of FCC (Fomento de Construcciones y Contratas), where he led the organizational and financial restructuring of the infrastructure, environmental services and water group. During his tenure, Bill Gates, George Soros and Carlos Slim were incorporated as shareholders. He previously was CEO of Cementos Portland Valderrivas and Globalvia Infraestructuras. Prior to this, he was president of Citigroup Infrastructure Management. An important part of his professional career was developed in the Ferrovial group, where he was CEO of Ferrovial Infraestructuras and Executive Vice President and CEO of Cintra, S.A. For more information on Bruc, please go to https://brucenergy.com/
McKinsey’s Global energy perspective 2021 reveals that the decarbonization of the economy must be accelerated
The world is clearly becoming electrified. A particularly important part of this process is due to the development of renewable energies, especially wind and solar generation. However, efforts in this area are still not enough to stop global warming. It is necessary to accelerate the main vectors of decarbonization of the economy to avoid an environmental scenario of undesirable and catastrophic consequences. This is the conclusion that can be drawn from the report prepared by the McKinsey consultancy with the title Global energy perspective 2021. The main messages that make up this conclusion are: The impact of COVID-19 on demand in the long term will be modest. Electrification progresses, and hydrogen becomes the great player of change for the future. Peaks in demand for fossil fuels occuring earlier than projected. The change is too slow to reach a scenario of growth in temperatures limited to 1.5 degrees. Investment flows will remain stable for the next 15 years. According to McKinsey, energy demand will rebound rapidly after the pandemic. The impacts that COVID-19 is having on consumer behavior in relation to energy use are small compared to the advancement of electrification. The great driver of this process is energy efficiency and renewable energy. In fact, energy intensity (the amount of energy that is needed for each point of Gross Domestic Product) will decline by 40% by 2050 as a consequence of the gains in efficiency that derive from better use of energy and electricity and the shift of fuels. Green energies will represent half of the total energy generation by 2035. The prominence will focus on wind and solar technologies, although green hydrogen is beginning to appear as the agent with greatest capacity to revolutionize the energy industry in the future. In fact, it will begin to have a competitive cost by 2030. The advancement of green energies occurs at the same time as the anticipation of peaks in demand for hydrocarbons. Oil and gas will peak in 2029 and 2037, respectively, but will continue to play an important role in the energy system until 2050 driven by growth in chemicals and aviation areas. The great challenge comes from the fourth matter pointed out by the consultancy. If greenhouse gas emissions are only reduced by 25% between now and 2050, we will be aiming for a growth in temperatures of 3.5 degrees, extremely far from the 1.5 degrees that is targeted by the Paris Agreement since November 4, 2016. “Turning to this 1.5 degree scenario requires stronger ambitions and accelerated implementation on a global scale”, the report states. There will be no shortage of capital to finance this change, as energy investment flows will remain stable for the next 15 years. Although renewables will continue to gain share over fossil fuels, these will continue to represent 50% of investments by the year 2035 in the scenario taken by the researchers as a reference.
