NorfundвЂ™s investment teams have extensive experience in project development and governance and work closely with the partners to develop the companies. To maximise commercial and developmental success, Norfund strives to be a value adding owner beyond the capital investment. We offer risk capital through equity, loans and funds to companies that meet our requirements. Norfund has invested in several start-ups in this area and provided loans to more mature companies. Rooftop solar is a typical example, although larger-scale ground mounted solutions are increasingly common. Captive Power SolutionsД¬aptive power solutions provide power directly to a consumer, typically on or nearby that consumerвЂ™s site. Norfund has defined distributed generation as a focus area and is a leading investor in this rapidly changing and challenging market. In addition, off-grid and mini-grid solutions provide households and communities with alternative solutions to grid connection. Increasingly, commercial and industrial users are looking towards captive power, i.e. Technology change is driving new opportunities and business models in the energy sector. Norfund has invested in both these business models, as well as provided loans to some of the more mature home solar provider companies, and supporting private equity funds providing debt to this segment. Two business models are emerging: establishment of mini-grids for rural communities, and household solar products typically provided on a pay-go financed solution. With cost reductions for solar power and batteries, off-grid power supply is an increasingly cost-effective solution for rural communities. Many of NorfundвЂ™s investments are in coal-intensive countries, where new renewable energy plants help reduce host countriesвЂ™ greenhouse gas emissions.

In recent years we have seen the costs of solar and wind power drop dramatically, strengthening the transition to renewables. Norfund invests in medium to large scale grid-connected power plants, primarily with or via industrial partnerships such as SN Power, Globeleq and Scatec. Business Models Grid-Connected Electricity Supply

Clean energy