Foresight Group has agreed to acquire NZ Clean Energy (NZCE), a New Zealand-based renewable energy development platform, through its Asia-Pacific energy transition strategy, the Australian Renewable Infrastructure Fund (ARIF).
Foresight is targeting an initial investment of more than AU$500 million in NZCE to fund the development and construction of the platform’s three late-stage solar projects, totalling approximately 300 megawatts, as the projects move into construction during 2026 and 2027.
The acquisition marks Foresight’s entry into the New Zealand energy market and expands ARIF’s footprint and set of origination opportunities beyond its existing portfolio in the Australian market.
Rising electricity demand and the transition to low-emissions energy system is driving demand in New Zealand’s electricity market. Total electricity demand is forecast to increase by around 25 per cent over the coming decade, rising from approximately 40 terawatt-hours (TWh) today to around 50TWh by the mid-2030s.
Daniel Beaver, Executive Director at Foresight and Portfolio Manager of ARIF, said: “This acquisition represents an important milestone in our growth strategy.
“New Zealand has an exceptional renewable resource base and a supportive policy environment. By combining our capital and operational expertise with NZCE’s local knowledge, development expertise and project pipeline, we are well positioned to accelerate the delivery of new renewable energy capacity.”
NZCE’s solar projects are part of a broader development pipeline of more than two gigawatts of solar and battery energy storage projects across approximately 15 sites.
The acquisition provides ARIF with a platform to progress the ready-to-build projects into construction including an 89MW Masterton solar and battery energy storage (BESS) project and the 106MW AC solar and BESS project in Darfield.
A third project on the South Island is the 106 MW Darfield solar and BESS.
Harry Simpson, CEO of NZCE, said: “We established NZCE with the ambition of building a serious pipeline of solar and storage projects across New Zealand.
“Over the past several years we’ve focused on identifying the right sites and progressing projects through development.
“Partnering with Foresight allows us to move into the next stage and take advanced projects into construction while continuing to expand the platform.”