BII and Idemitsu partner with Skye Renewables to accelerate decarbonisation in South-East Asia

• A joint investment from BII and Idemitsu will support the renewable energy platform's target to build over 300 MW of greenfield solar power capacity for commercial and industrial customers in the region.
• The solar projects are expected to help displace consumption of on-grid electricity and avoid 270,000 tonnes of CO2 emissions annually. 

SINGAPORE, March 26, 2024 /PRNewswire/ -- British International Investment (BII), the UK's development finance institution (DFI) and impact investor, and Idemitsu Kosan (IKC), one of Japan's leading energy companies, today announced a joint investment into Skye Renewables Energy Pte Ltd. (Skye), a South-East Asia-focused renewable energy platform, forming a strong partnership to support the development of greenfield solar projects and decarbonisation of the region.

South-East Asia is a region with an increasing demand for power and a high reliance on fossil fuels which creates an opportunity for the growth of renewable energy as part of decarbonisation efforts. While primary energy demand in the region is expected to grow by 1.8 times by 2050, renewable energy demand is estimated to grow by 4.4 times based on the current policy landscape.[1]

Established in 2022, Skye develops solar projects and provides off-grid clean energy to commercial and industrial (C&I) customers in the region including the Philippines, Vietnam, Singapore and Malaysia, under long term power purchase agreements.

The C&I sector accounts for a significant portion of energy demand in South-East Asia. Providing solar power to C&I businesses offers a good opportunity to keep pace with the region's growing energy demand in a sustainable way and help countries to achieve their sustainability goals. Governments have introduced supportive policies for this nascent segment to scale clean energy deployment in C&I sectors and accelerate energy transition across the region.

Drawing from BII and IKC's extensive track record in the renewable energy sector globally, the investment aims to support the region's sustainability goals by transforming Skye into a scaled-up regional renewable energy platform with a solar capacity of over 300MW in the coming years.

As Skye grows, the solar projects are expected to help avoid 270,000 tonnes of CO2e annually, which is equivalent to the emissions generated by over 47,000 homes' electricity use in a year.