Norton Rose Fulbright advises on facility to fund UAE solar projects

Global law firm Norton Rose Fulbright has advised a consortium of financial institutions including Arab Petroleum Investments Corporation (APICORP) and National Bank of Fujairah PJSC, on a facility worth approximately $34.3 million to one of TotalEnergies’ subsidiaries in the United Arab Emirates. This deal is the first non-recourse financing for decentralised power in the Middle East developed by TotalEnergies, which will implement the construction, engineering, operation and maintenance of the project.

The transaction involves the funding of over 30 rooftop solar projects in the United Arab Emirates, as part of supporting the Dubai Electricity and Water Authority’s (DEWA) smart initiative to connect solar energy to buildings. The project will be highly influential in contributing to the achievement of the Dubai Clean Energy Strategy, which specifies a target of 75% of the UAE’s energy to be from clean sources by 2050. The initiative encourages households and building owners to install PV panels to generate electricity, and connect them to DEWA’s grid. The electricity is used on site and the surplus is exported to DEWA’s network.

The cross-border Norton Rose Fulbright team was led by partners Angela Croker and Paul Mansouri in Dubai, assisted by partners Nicholas Robinson and Louisa Lynch and associate Noren Bhulji; with this team functioning as transactional counsel on the banking and finance aspects of the deal. Partner Chris Down led on the London-based projects side of the deal, with assistance from associate Harriet Bowers; whilst the hedging elements of the transaction were led by Colin Rice (partner) and assisted by Francesca North (associate). Leading on the French law aspects of the deal was the firm’s Paris team, led by partner Simon Cudennec with assistance from senior associate Adnen Ben Nasser.

Angela Croker commented:

“We were proud to work on this groundbreaking transaction, which demonstrates strong commitment from all involved parties to contribute to meeting net zero targets and driving forward energy transition in the region. We believe this will prove to be a landmark deal for the region and will go some distance to supporting the securing of a stable, clean energy future for the United Arab Emirates.”

Norton Rose Fulbright’s Middle East energy team is ranked Band 1/Tier 1 in both Chambers UK 2021: Energy and Natural Resources: Renewables and Alternative Energy, and Legal 500 UK 2021: Power (including electricity, nuclear and renewables).