Nuveen's Don Dimitrievich on power, renewables, and the 'solar coaster'
May 2, 2024
auto_awesome
Don Dimitrievich, Senior Managing Director at Nuveen, discusses challenges in renewable energy, investor views on power generation, Nuveen's role in energy infrastructure, and impacts of the Inflation Reduction Act on renewable investments.
Renewable energy sector faces challenges of supply chain disruptions, cost of capital, and inflation affecting project development.
Conventional power, like gas-fired peaker plants, remains essential for grid stability and meeting peak energy demands.
Deep dives
Overview of Noveen's Role in Infrastructure and Energy Sector
Noveen, an asset manager with a 40-year history in infrastructure investments, manages over 30 billion in capital for private infrastructure projects. Don Dimitrovich leads a focused energy and power credit strategy at Noveen. His extensive industry experience, spanning a mechanical engineer background to overseeing energy and power credit strategies at Citigroup and founding a power vertical at Highbridge, adds significant value to Noveen's energy and power investment focus.
Challenges in Renewable Energy Sector
While renewable energy sector growth remains pronounced, challenges such as increased cost of capital, supply chain disruptions from COVID, and inflationary pressures impact project development. Delayed projects due to these headwinds affect grid stability and overall project viability. Despite some improvements in supply chain issues, delays in critical components like transformers and breakers continue, extending project timelines and affecting project completion.
Role of Conventional Power in Energy Market
Amidst renewable sector challenges, conventional power, particularly gas-fired peaker plants, plays a crucial role in addressing peak energy demand and stabilizing power generation. Increased focus on AI data centers and rising power demand necessitate a diverse energy supply mix. Investors' evolving perspectives now acknowledge the importance of conventional power in meeting short to medium-term energy needs, emphasizing a pragmatic approach to energy supply solutions.
Don Dimitrievich, a senior Managing Director and Portfolio Manager for Energy Infrastructure Credit at Nuveen, discusses the challenges to the renewable energy sector and the continuing role of conventional power with Infralogic News Editor, Energy Americas Andrew Vitelli.
Get the Snipd podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share & Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode