24 May 2024

Southland Power Trust exits SGLP joint venture to focus on core local assets

The Southland Power Trust (SEPSCT) today announced that wholly-owned subsidiary The Power Company Limited (TPCL) is exiting its interest in Southern Generation Limited Partnership (SGLP).

SGLP was created in 2015 as a joint venture between TPCL (25%), Electricity Invercargill Limited (EIL) (25%) and Pioneer Energy Limited (50%). Over the past decade, SGLP acquired and successfully developed a portfolio of renewable generation assets including a wind farm in Southland, one in Otago, and several hydro generation schemes in the North and South Islands.

In making the announcement, SEPSCT Chair, Carl Findlater said the decision to sell aligned with SEPSCT’s commitment to focus on core assets that ensure Southland’s electricity network remains safe, efficient, and reliable.

“The SGLP joint venture has been a successful investment but is a non-strategic asset for SEPSCT. Exiting this interest ensures the Trust is well-positioned to support increasing demand for electrification of the Southland and Otago economies. It also enables the Trust to pursue opportunities to consolidate ownership and management of local electricity networks, ensuring ownership remains in local hands for the benefit of local consumers,” he said.

Pioneer Energy Limited will acquire both TPCL and EIL’s shareholding in SGLP.

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This announcement has been authorised by Carl Findlater, Chair of Southland Power Trust (SEPSCT).

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