Apollo Global Management Inc. (Apollo) and Summit Ridge Energy, LLC (Summit Ridge) announced that funds managed by Apollo affiliates (Apollo Funds) have agreed to make a US$175 million strategic investment in Summit Ridge, an owner-operator of community solar assets.
Since launching in 2017, Summit Ridge has formed two joint ventures totaling more than US$1 billion in permanent project capital and has grown its portfolio of solar projects in operation or under construction to more than 300 MW. By the end of 2023, Summit Ridge expects to have more than 500 MW of solar and 100 MWh of battery storage projects online, providing energy savings to approximately 175,000 residential and commercial customers. With the investment from the Apollo Funds, Summit Ridge will look to further expand its geographic footprint and continue to scale its platform.
Community solar is a rapidly growing segment of the renewables market that allows individuals, businesses, nonprofits, and other groups to participate in the clean energy economy by subscribing to local solar farms at discounted rates to traditional utilities (see “Grassroots Grids,” Q3 ESG Review p. 14). Community solar projects have increased access to clean energy savings in urban and low-to-moderate income markets. Since 2018, the installed capacity of community solar has skyrocketed, a trend that is expected to continue as consumers become more environmentally conscious, solar economics improve, and commitments to the energy transition increase across the country.
“We are pleased to work with Summit Ridge to expand access for underserved communities to participate in the clean energy transition,” said Corinne Still, Apollo Partner. “Community solar offers compelling benefits for individuals, households and businesses alike. In supporting Summit Ridge’s continued growth, we expect to have a significant positive impact on communities by facilitating increased uptake of renewable energy sources, creating local jobs, and developing sustainable infrastructure.”
As a result of the investment by the Apollo Funds, Apollo Partners Corinne Still and Wilson Handler will join the Summit Ridge Energy board of directors. Summit Ridge Energy CEO, Steve Raeder will continue to serve as the board’s chair.
Earlier this year, Apollo launched its Sustainable Investing Platform, which targets to deploy US$50 billion in clean energy and climate capital over the next five years and sees the opportunity to deploy more than US$100 billion by 2030. Over the last five years, Apollo deployed more than US$19 billion into energy transition and sustainability-related investments, supporting companies and projects across clean energy and infrastructure, including offshore and onshore wind, solar, storage, renewable fuels, electric vehicles, as well as a wide range of technologies to facilitate decarbonization.