This is your SolarWakeup for December 10th, 2020

A Senate Energy Bill? Could it be possible? Will the Senate be able to pass a bipartisan energy bill in the new session? That’s the headline in the news today and remains an effort being led by Manchin/Murkowski, the most centrist of the Senators. Wait and see, but unlikely.

ESG Pension Funds. When pension funds or endowments divest, I tend to shrug my shoulders. Not because it’s not a big deal but because it is bound to happen anyway. If investing is determining the value of companies in the future, investing in fossil fuel companies is not a good idea over the next 30 years.

Development Platforms Get $. BayWa may be the distributor you know in the US but globally they are a massive renewable energy development firm as well. EIP, the investment firm, is taking a 49% stake in the company for over $600million. The investing thesis will tell you that this investment will be worth well more than a few years from now.

Talk About Dealflow. The untold piece of ESG investment is that currently there is more money than deal flow. This is momentary but the sellers, startups, and companies raising the money are likely to be in a position of power but also in a position to ensure that ESG capital doesn’t have excuses not to grow.

Supply Chains Choke Up. If you are a buyer of products, now is the time to expand your time horizons to ensure continuity of supply. Manufacturers and research companies are underestimating the size of the market over the next two quarters and likely most of 2021. That means that there will be a limited amount of product to go around and if you’re not allocated, you may get hung out to dry. SolarWakeup Buyer’s Group is here to help, ensuring allocations for our members now. 

Opinion

Best, Yann