Clive Turton, former Asia Pacific managing director of APR Energy and an experienced power generation developer, will lead the joint venture.

The platform will target projects at the development phase of the infrastructure lifecycle and will de-risk the assets through financing, construction and commencement of operations. It aims to develop a diversified portfolio including thermal, wind, solar, hydro and waste to energy projects in the mid-scale segment (~50-300MW).

The joint venture expects to invest equity in excess of US$500million and is currently in discussions with leading financial partners across the capital structure.

Joachim Rumstadt, Steag Chairman said, “Emerging countries in Southeast Asia are in desperate need of an increase in stable and reliable electricity supply. Steag is familiar with energy projects in emerging markets and this partnership with Macquarie Capital brings together an ideal combination of technical expertise and infrastructure financial markets experience. We believe all stakeholders (off-takers, project developers, financial providers and governments) will benefit from our combined capabilities.”

Alex Harvey, global head of Macquarie Capital’s Principal Transactions Group and executive chairman of Macquarie Group Asia, said, “We’re delighted to be part of this joint venture with Steag, which is well-regarded as a leading strategic power developer.” John Walker, Macquarie Capital’s executive chairman of Asian Infrastructure, Utilities and Renewables added, “The reaction from project developers and financial market partners has been very strong to date and creates a solid foundation for the future development of the platform.”

Turton said, “It’s a pleasure to be working with Steag and Macquarie Capital to introduce a new player into the power development business in Southeast Asia. Our work is already underway developing the pipeline and identifying partners, and it’s clear that there’s a great opportunity to build a substantial business in this region.”

Steag has been actively engaged in emerging markets over the past 20 years, including Indonesia, Philippines, India, Columbia and Turkey, and is internationally known for the reliable production of electricity. Macquarie Capital is a global leader in principal investments and financial advisory activities. Steag and Macquarie Capital have worked together on numerous infrastructure projects.