Abu Dhabi-based clean energy company Masdar is contemplating a foray into China, the world's largest renewable energy market, aiming to achieve a renewable energy capacity of 100 gigawatts by 2030, disclosed a senior executive.
Abdulaziz Alobaidli, Masdar's Chief Operating Officer, stated, “China is a very competitive market with local players, so we are not yet there. However, we are assessing the market [and] we are engaging with potential partners … to decide what would be our ideal market entry strategy.” He emphasized the strategic significance of China, mentioning, “I think any serious investor who is ignoring China is committing a very strategic mistake.”
Masdar, jointly owned by the Abu Dhabi National Energy Company (Taqa), Adnoc, and Mubadala, operates in 40 countries and aims to scale up its renewable energy capacity to at least 100 gigawatts by the end of the decade, up from its current 20 gigawatts.
The International Renewable Energy Agency (Irena) reported a global increase in renewable energy capacity in the power sector, reaching 3,870 gigawatts in the past year, with China leading the charge by installing 298 gigawatts in 2023.
Despite escalating trade tensions between Beijing and Washington, Masdar remains undeterred in its global expansion plans. Mr. Alobaidli stated, “As a company we wish for these to de-escalate, certainly,” emphasizing Masdar's preparedness with contingency plans to navigate geopolitical uncertainties.
Masdar is also eyeing expansion in Europe, particularly in light of the continent's accelerated shift towards clean energy following geopolitical events such as Russia's invasion of Ukraine. Recently, Masdar acquired a 49% stake in the UK's Dogger Bank South (DBS) project, demonstrating its commitment to strategic investments in Europe's renewable energy sector.
Mr. Alobaidli affirmed Masdar's intent to explore “transformative acquisitions” in Europe and the US, focusing on solar, onshore, and offshore wind projects. Additionally, Masdar plans to issue a green bond worth between $750 million and $1 billion this year to finance its global renewable projects, building on the success of its previous green bond offering.
