Investor Presentaiton
Private investment
stage portfolio
companies
INTERNALY VALUED
RENEWABLE ENERGY BUSINESS OVERVIEW
INVESTMENT RATIONALE
Electricity demand has been outpacing the supply by 5.1% over the last decade.
MARKET OPPORTUNITY
ELECTRICITY SUPPLY AND CONSUMPTION (TWH), 2020
Underutilized energy resources resulting in high availability of economically feasible projects.
Cheap to develop - up to US$ 1.5 million for 1MW hydro and up to US$ 1.4 million for wind
development on average, with 1.5x higher capacity factors compared to Europe.
Fully dollarized business, as both PPAs and market sales are set is US dollars.
Deficit (4 months)
Deficit (6 months)
1.5
VALUE CREATION POTENTIAL
Opportunity to establish a renewable energy platform with up to 265MW operating capacity
over the medium term and capitalize on favorable electricity market conditions.
1.0
■ Diversified portfolio of hydro and wind power plants with c. 40% capacity factors, all
benefiting from long-term fixed price PPAs formed with the Government-backed entity.
Availability of competitive funding from international capital markets for pipeline projects.
High margins and EBITDA to cash-conversion rate, dollar linked cash flows.
0.5
0.0
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
■ Stable dividend provider capacity in the medium term.
OWNERSHIP
Following the buyout of the 34.4% minority shareholder in February 2020, Renewable energy
is 100% owned by Georgia Capital.
Hydro and wind
TPPS
Imports
Consumption
GEORGIA
CAPITAL
Electricity deficit during
July-April.
■ 22% of total consumption
produced by gas-fired
TPPS, 13% - imported.
ELECTRICITY IMPORT AND EXPORT DYNAMICS (USD million)
LOW BASE AND HIGH CDD1 POINT TOWARDS 5X INCREASE IN AC
PENETRATION BY 2030
40.0
23.5
20.0
475
196
56
252
248
18
493
8.2
0.0
86%
➤ Air conditioners are the
most electricity-intensive
conventional domestic
devices and increasing
-20.0
0.5
-14.0 -16.3
-17.8
-21.6
-40.0
-44.5
60%
50%
penetration of ACs quickly
-55.9
-60.0
-58.7
33%
35%
eats away the surplus
-70.5
Korea
Canada
France
Spain
Italy
14%
Netherlands Georgia
13%
electricity on the market in
the summer months
-80.0
2010
2011
2012
2013 2014
2015
2016
2017
2018
2019
2020
■AC penetration
Georgia Capital PLC 1. cooling degree day
● Mean CDD
Source: Worldbank, Geostat,
EurekAlert and etc.
Electricity exports
Electricity imports
Deficit
■ 2020 electricity trade deficit
stood at 58.7 million USD.
Consumption growth
forecasted at minimum 4.0%
CAGR in coming 10 years.
Anticipated deficit of at least
6.1 TWh by 2030.
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