Nato Oosthuizen
Renewable energy
The global energy revolution is here: the industry is growing fast, shaped by new technologies, business models and ecosystems. Although the South African energy generation sector has its constraints and concerns, the tide of renewable energy has turned and new ways of generating, storing and monitoring our consumption of energy will become increasingly the new standard.
Governments and businesses must now rise to the challenges of a just energy transition to an affordable and sustainable energy supply. This new global focus has created substantial opportunities for developers, technology suppliers and investors – particularly in South Africa, where solar and wind power can be game-changers.
How we assist Investors
BDO has considerable experience providing customised solutions in the energy production sector. This includes assistance with managing:
- Project Identification & Validation
- Financial close of the project (before or after)
- Transactions across the overall asset/s life cycle
- Project Finance and SPV Structuring
- Construction phase of the project / the infrastructure asset
- Procurement phase of the project
- Production / Operations & Maintenance (O&M)
In South Africa, we have developed and reviewed financial models for renewable energy projects. Specifically, we have experience in the development of financial models, input reviews, taxation advice and bid preparation.
To date we have been involved in:
- The bid preparation of REIPPPP projects for submission to the Department of Energy
- Setting up corporate structures for companies expanding into South Africa and Africa
- Performing outsourced accounting services, including back-office administration, public officer and bookkeeping services for energy clients, especially IPP’s and investment companies operating in the local renewable energy sector
- Auditing several energy sector clients across the country
- Providing taxation advice – individual, corporate and expatriate
- Performing valuations of active projects and project pipeline assets for IPP’s and investment holding companies within the renewable energy sector
- Performing buy-side financial and tax due diligences on active REIPPPP projects
- Reviewing financial models for accuracy, as well as compliance with International Financial Reporting Standards (IFRS) requirements and local tax legislation.
How we assist Renewable Companies.
Market pressure on energy and other resources have combined with increased regulation to create new business priorities such as net zero and regenerative energy consumption. This is driving the world towards lower carbon generation through demand for more resource-efficient, climate-friendly goods and services.
BDO has vast experience in advising its clients through this new market landscape and understands the intricacies of the local market as well as the regulation that governs it. We support our clients in conceptualising the feasibility of investing, developing and constructing renewable energy projects to ensure the sustainability and longevity of their investment. At BDO we offer various support services to ensure your company can operate compliantly while our clients focus on the operational challenges they face.
These services include:
- Actuarial services
- B-BBEE Verification Services
- BDO Digital
- Business restructuring
- Corporate finance
- Cyber security
- Finance transformation
- Forensics
- Infrastructure advisory
- People advisory services
- Risk advisory
- Strategy & growth advisory
- Supply chain management advisory
- Sustainability services
- Wealth
- Assurance (including Statutory audits and Agreed Upon Procedures)
- Performing buy-side financial and tax due diligences on active REIPPPP projects
- Reviewing financial models for accuracy, as well as compliance with International Financial Reporting Standards (IFRS) requirements and local tax legislation.