Shell New Energies US, a subsidiary of Royal Dutch Shell, has signed an agreement to buy 100% of Savion, a large utility-scale solar and energy storage developer in the United States, from Macquarie’s Green Investment Group. Savion currently has more than 18 GW of solar and energy storage under development.
“Savion’s significant asset pipeline, highly experienced team, and proven success as a renewable energy project developer make it a compelling fit for Shell’s growing integrated power business,” said Wael Sawan, Integrated Gas and Renewables & Energy Solutions Director. “As one of the fastest-growing, lowest-cost renewable energy sources, solar power is a critical element of our renewables portfolio as we accelerate our drive to net zero.”
Shell also controls a stake in U.S. solar developer Silicon Ranch and owns sonnen, a popular residential-scale battery provider.
Savion, based in Kansas City, Missouri, currently employs 126 staff. The brand name will continue within Shell’s Renewables & Energy Solutions Integrated Power business. The deal should close by year’s end.
News item from Shell
Shell seems to be moving towards the ownership of solar PV farm assets, kind of like BP has been doing for a while. If folks aren’t careful one day they may wake up and see that their electric bills now come from Shell, BP, Chevron instead of from Duke, Pinnacle West, Sempra, Dominion, Xcel or NRG Energy.
I can see a split in the energy business model, there will be large companies building or contracting with wind or solar PV farms for long term PPAs and a separate group trying to figure out how to operate a grid with remaining nuclear and fueled generation as a capacity market that will still have the energy storage market that is growing and will become a major competitive business model that will relegate fueled centralized generation to the history book of oblivion.