UK-based energy giant BP has completed the purchase of the outstanding interest in renewable energy company, Lightsource BP.
BP, which also makes the Castrol metalworking range, announced that it was exercising its option to purchase the remaining 50.03% interest in November last year.
With it now owning Lightsource BP in its entirety, BP has a strong renewable energy presence in 19 markets, with 62 GW of projects in the pipeline.
Despite BP now consolidating its financial debt, Lightsource BP will keep its independent brand and continue to operate as a standalone company.
The business model at Lightsource BP follows an approach whereby strategic partners take majority interests in its projects to maximise value creation. BP says the acquisition will help it to fulfil its own needs for low-carbon power at a competitive price, such as for producing green hydrogen and biofuels, supplying EV charging points and power trading.
The executive vice president for low-carbon energy and gas at BP, William Lin, said:
“This deal creates an engine for onshore renewable power development at BP—combining wind, solar and batteries to generate the energy flows our traders need to optimise value and the electrons our customers want. It also helps us with our own power demand.”
He added that the wider operations at BP would also benefit from the capital-light model of Lightsource BP. He said he was looking forward to bringing the Lightsource team into BP’s global business and helping them to maintain Lightsource’s position as a market leader.
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