US-based solar solutions provider RGS Energy and Altus Power America Management have established a new joint venture to develop, finance and manage commercial solar projects.
Named as RGS Energy Asset Management, the joint venture brings RGS Energy into the energy asset ownership field and also allows the company to integrate credit qualification and capital sourcing into its core operations.
With an initial capital deployment of $150m, the joint venture will benefit from best practices from both organisations' experience in developing, building and owning energy assets.
Under the joint venture, the organisations will manage the available pool of capital in such a way that funds be disbursed and deployed more quickly and efficiently to trigger growth.
The joint venture will offer power purchase agreements and other financial solutions to customers with its first fully financed projects expected to become operational by the second quarter of 2014.
RGS Energy vice-president of project finance and RGS Energy Asset Management president Andrew Zaref said the latest agreement represents the company's first foray into asset energy ownership and long-term asset management and creates a platform to fuel growth and access untapped and new markets.
Norell said: "Altus and RGS Energy are working together to solve many of the issues that have prevented large scale and repeatable deployment of affordable solar power. Altus Power America Management managing partner Lars Norell said the joint venture is expected to allow the company to identify attractive solar power projects across the country and efficiently deploy capital throughout the US solar market.
"We anticipate that this initial deployment of $150m of capital will be the first of many as we partner with RGS Energy, a leading solar company in the country, to create and enhance value for both organisations."