We specialize in advising governments on the attraction of international investment for renewable energy projects. We do this by bringing our clients into contact with technology partners and investors which are seeking opportunities. Our experience and network guarantees success.
DS Consulting, founded in southern Germany in 2000, is a specialist FDI consultancy. We assist governments and other organizations achieve their economic development and climate change goals by the implementation of renewable energy projects.
Throughout the 1990‘s many German engineering and automotive companies converted to
the manufacture of wind turbine components. In solar and biogas new companies emerged in the
last decade. And over the last 5 years companies from all of these sectors have expanded
internationally to develop projects in Europe and beyond.
Examples are: Nordex, Enercon, Conergy, Q-Cells, Centrosolar, juwi, Biogas Nord
Markets for PV companies:
Germany – degression now coming in to aggressively cut the industrial scale projects
Italy – now seen by most German investors as increasingly problematic
Spain – reduced to minor market
France – sudden reductions of tariffs
Eastern Europe – most countries seeing reductions or freezing of tariffs or are politically unstable
North America, Asia – only for the bigger players
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UK and Ireland as a market for German investment
The UK and Ireland are traditionally attractive and popular markets for German investors. As
inward investors, across a wide range of sectors, companies usually make long term
commitments characterized by steady expansion and job creation. The UK commercial property
market is also seen as professional, stable and providing good returns. However, the lack of
coherent government policy supporting the development of alternative energies has largely
deterred investment in this sector from Germany until now.
2 new factors are creating the right conditions:
In April 2010 the UK feed-in tariff was introduced. This is a well-established mechanism (over 50 tariff systems worldwide) for guaranteeing reasonable returns. The first FiT was introduced in Germany in 2000 and is the main driver for development of the market - €20 billion invested in the German RE industry in 2009. Other initiatives eg ROCs, RHI, Green Bank and the ambitious British climate change targets are also encouraging the investor’s view that the UK market is de-risking and needs German technology.
German institutional and private investors have been used to generating steady returns and RE companies are accustomed to growth. But markets on the Continent are drying up and most of these players are too small for business development beyond Europe. The UK and Ireland is the last big market in Europe offering significant growth potential.
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Creating renewable energy assets is now the quickest and easiest way for a local authority to
generate much-needed revenue, to meet climate change targets and to create jobs.
In the longer term these technologies and project development capabilities will become
embedded in the local economy to create long term wealth for the community.
There is no need to re-invent the wheel:
Proven technologies - When the experience of German manufacturers and project developers is applied to projects in the UK and Ireland the risk is thereby reduced and quality is enhanced for financial investors.
Communities – Public sector organisations and utilities in Germany have enabled their communities to benefit from the creation of new energy assets. These models (eg PV on roofs of public buildings) will also work in the UK and Ireland.
Finance – Solar funds and other investment vehicles have been raising equity which is now looking for a home. And the “Landesbanken” based in London will provide debt finance for projects involving German technology.
There is an opportunity for LAs to benefit from German experience and funding to
accelerate the process of creating renewable energy assets in their regions. However
projects must be made attractive and accessible in order to compete for the limited
capacity available at the quality end of the service provider and funding markets.
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We have long term experience of inward investment lead generation on behalf of foreign IPAs in
the German-speaking markets. Over the last 5 years our focus has been on the renewable
energy industry and we have built up substantial knowhow and an extensive contact base.
As the processes for cross-border investing have become increasingly complex and varied
(no more greenfield investments!) we have developed additional services for our clients.
Our services to public sector clients creating new energy assets are:
Strategy Consulting – we work with our clients to develop and shape investment propositions to ensure that these are attractive for German corporates and funders to develop the projects.
Business Development – We take the propositions to market and identify suitable partners for the implementation of renewable energy projects. These include engineering design consultancies, project developers and equipment suppliers.
Funding Facilitation – we facilitate access to equity and debt providers from Germany
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