Brookfield Renewable Partners L.P. (NYSE:BEP) Q4 2022 Earnings Call Transcript

That is a very sizable arrangement we have with them. We are talking gigawatts. And that is another thing that would support the pipeline in Asia. Wyatt, I am sure that covers most of it, but anything else you would add there?

Wyatt Hartley: Only other thing Connor, I would add is, we had in past highlighted our rooftop solar business in China, where the business or the momentum for that business continues to build. And so we are seeing a little bit more activity of that business, but you highlighted the majority of them, Connor.

Sean Stewart: Okay, that’s great. Thanks very much, guys.

Operator: Our next question comes from the line of Robert Hope with Scotiabank. Your line is now open.

Robert Hope: Good morning, everyone. Maybe hoping you could comment on what your investment pipeline looks moving forward in terms of we will call it asset acquisitions or maybe larger platforms, any geographies or assets that are looking the best? And you mentioned that inbound indications for pricing hasn’t changed on your end, but what about assets that would require maybe a little bit more work in the financing or contracting side? Thank you.

Connor Teskey: Thanks, Rob. No doubt the pipeline remains strong and there is probably two key things that we would highlight. Clearly in 2022 and we will make a comment here that we’ve made previously. If we go all the way back to 2021, we looked at buying a lot of renewable development platforms in our core markets around the world. We did a lot of due diligence processes. We analyzed a lot of opportunities. But we found the market was very, very frothy and we struggled to see things where we were comfortable with the value entry point. As we moved into 2022, there were a number of things in the market, a little bit of macro uncertainty, rising rates, some supply chain pressures that perhaps other market participants aren’t as well suited to manage through.

We saw tremendous opportunities in 2022, sorry, to buy renewables developers, high-quality renewables developers in our core markets at entry points that, quite frankly, we would have fallen out of our chair to execute on in 2021. One big theme as we enter 2023 is we see that dynamic continuing. We do see that dynamic continuing in the early part of the year. And we are seeing the ability €“ we believe to acquire renewable development platforms, where we can obviously use our corporate capabilities to enhance those businesses. We are still seeing attractive value entry points there and hope to execute some of those transactions in the near-term. If that’s point one, the other thing that we would highlight is with the rise in rates in some of the market uncertainty and perhaps capital scarcity in the market, we do believe that we are going to see more opportunities in 2023 to buy operating assets than perhaps we saw in last year or the year before that.

So that continues to be an increasing portion of our pipeline, something we are obviously excited to see begin come back in the strike zone.

Robert Hope: Alright. I appreciate the color. And then maybe a follow-up there, if we take a look at your development pipeline you have accelerated some investment into 2023. How are you looking at the supply chain? Are most of the issues behind us as well as inflation, do you have a good handle on that to give you the confidence to further accelerate development into 2023?