Core Insights - Indonesia is advancing its clean energy transition while maintaining a strong reliance on thermal generation, with significant investments in solar PV, onshore wind, and geothermal energy [2][3] Installed Capacity and Generation - Cumulative renewable power capacity in Indonesia is forecast to reach 38.1 GW by 2035, up from 8.4 GW in 2024, reflecting a compound annual growth rate (CAGR) of 14.7% from 2024 to 2035 [2] - Solar PV capacity is expected to increase from 0.9 GW in 2024 to 23.2 GW in 2035, driven by floating and utility-scale projects and rooftop solar programs [3] - Onshore wind capacity will rise from 0.15 GW to 2.6 GW, supported by competitive tenders and hybrid renewable developments [3] - Geothermal capacity is projected to expand from 2.6 GW to 5.5 GW, leveraging Indonesia's geothermal reserves [3] Regulatory Framework and Support - Supportive frameworks such as the Just Energy Transition Partnership (JETP) aim for 44% renewable electricity by 2030, and the RUPTL 2025–2034 plan is accelerating the clean energy shift [3] - Presidential Regulation 112/2022 has strengthened investment clarity by limiting new coal development and mandating early retirement pathways for existing plants [3] Thermal Generation Outlook - Despite robust renewable growth, Indonesia's power mix will remain dominated by thermal sources in 2035, with coal-fired capacity projected to rise from 55.6 GW in 2024 to 61.4 GW in 2035 [4] - Gas-fired capacity is expected to expand from 29.1 GW to 36 GW, ensuring consistent supply across isolated island grids while renewable infrastructure scales up [4] Infrastructure Development - Cross-island transmission expansion and the deployment of digital grid systems are enhancing integration and reliability within the power sector [3]

Core Insights - The article discusses the top 9 undervalued asset management stocks to buy, highlighting the resilience of wealth management and brokerage stocks amid economic uncertainties [1] - The asset management sector has seen a rebound, with global assets under management reaching a record high of $147 trillion by the end of June [2] - Private credit is emerging as a significant trend in asset management, with non-bank institutions reshaping capital investment [3][4] Industry Overview - The asset management sector is characterized by a robust US economy and accommodative monetary policies, which have supported its resilience despite uncertainties [1] - Global private credit markets are projected to grow rapidly, potentially reaching $3 trillion by 2028, driven by lower interest rates and economic strength in the US and Europe [4] Investment Opportunities - Analysts at Goldman Sachs suggest that the current challenges faced by alternative asset manager stocks present opportunities for investment in undervalued names [5] - A methodology was employed to identify undervalued asset management stocks, focusing on companies with a price-to-earnings ratio of less than 20 and an upside potential of over 20% [7] Company Highlights - HA Sustainable Infrastructure Capital (NYSE:HASI) shows a stock upside potential of 42.42% with a forward price-to-earnings ratio of 10.74, supported by strong third-quarter results and a significant investment pipeline [9][10][12] - Burford Capital (NYSE:BUR) has a stock upside potential of 121.94% despite disappointing third-quarter results, with a focus on growing its platform and securing new firm commitments [13][14][15][17]

Core Insights - Brookfield Renewable Partners L.P. is one of the largest publicly listed renewable power platforms globally, with a diversified portfolio of hydroelectric, wind, solar, and storage assets across five continents [1][2] - The partnership aims to provide stable cash flows through long-duration contracts and strategic acquisitions, while also supporting decarbonization goals for utilities and corporate off-takers [1][3] Company Overview - The company operates a geographically diversified renewable power portfolio, including large-scale hydroelectric facilities, onshore wind farms, utility-scale solar arrays, and energy storage systems [2] - Its operational model emphasizes long asset life, grid-scale storage integration, and proximity to transmission corridors, enhancing its ability to pursue growth opportunities [3][6] Operational Profile - Key operational features include seasonal arbitrage in South America, long-duration Power Purchase Agreements (PPAs) in Europe, and a diversified contract mix that reduces volatility in cash distributions [4][21] - The integration with Brookfield Asset Management provides access to capital markets and centralized asset management, enabling the pursuit of accretive acquisitions and greenfield developments [3][6] Financial Metrics - Brookfield Renewable's market capitalization typically ranges between CAD 12–18 billion, with annual revenues falling between USD 2–4 billion [12][36] - The partnership's distribution policy aims to balance reliable yield with growth through reinvestment, with historical yield ranges attracting income-focused investors [11][12] Competitive Positioning - The company is compared to peers like NextEra Energy and Orsted, which focus on technology and contract structures, while Canadian peers such as TransAlta Renewables provide regional operating comparisons [5][42] - Brookfield Renewable's scale and integration with Brookfield Asset Management create a durable platform for capital deployment and yield generation, while its diversified assets mitigate localized generation risks [6][23] Market Dynamics - The company's index membership in the S&P/TSX Composite and S&P/TSX 60 enhances visibility and institutional ownership, influencing capital flows and trading liquidity [33][37] - Market dynamics are affected by commodity cycles, interest rate trends, and execution on growth initiatives, with strategic decisions impacting investor perception [35][38]

Summary of Key Points from the Conference Call Industry Overview - The focus is on the **US power sector** and its **Green Capex** (capital expenditures related to green energy initiatives) in light of the **One Big, Beautiful Bill Act (OBBBA)** and its implications for future investments [1][13][22]. Core Insights and Arguments 1. **Investment Projections**: The US power sector is expected to see **$2.0 trillion** in Green Capex from **2023 to 2032**, despite uncertainties surrounding updated Treasury Department guidance [1][22]. 2. **Power Demand Growth**: The Utilities team anticipates a **2.5% annual growth** in power demand through **2030** in the US, driven by factors such as AI and data center power demand [1][13][22]. 3. **Impact of OBBBA**: The OBBBA is projected to reduce US government outlay by approximately **$600 billion** from **2023 to 2032**, primarily due to the elimination of electric vehicle (EV) incentives [12][18][22]. 4. **Investment Opportunities**: Attractive investment opportunities remain in the power/water infrastructure supply chain, particularly in companies like **First Solar**, **GE Vernova**, **MasTec**, **Quanta Services**, **Xcel Energy**, and **Xylem** [11][27]. 5. **Resiliency in Power Sector**: The power sector is expected to remain resilient due to the **Reliability Imperative**, which emphasizes the need for investment to meet rising demand, replace aging infrastructure, and enhance resiliency against extreme weather events [1][25][38]. 6. **Green Reliability Premium**: The Green Reliability Premium is expected to rise from **$40/MWh to $48/MWh** post-sunset of solar and wind incentives, although this increase is modest due to retained battery storage incentives [56][57]. Additional Important Insights 1. **Data Center Demand**: Data center power demand is projected to grow by **165%** by **2030**, significantly impacting overall power demand [64][70]. 2. **Investment Shifts**: There is a notable shift in investment focus towards power generation and infrastructure, with a **15% reduction** in overall Green Capex investment compared to previous estimates [12][39][44]. 3. **Electric Vehicle Market**: The outlook for electric vehicles has been downgraded, with a **40% reduction** in investment anticipated due to the elimination of incentives [39][41]. 4. **Cost Competitiveness**: Despite rising supply costs, utility-scale solar and onshore wind remain competitive without requiring a Green Premium [47][51]. 5. **Long-term Emissions Outlook**: The pace of nuclear expansion and coal plant retirements will be critical in determining future US carbon dioxide emissions levels [12][22]. Conclusion The US power sector is navigating a complex landscape shaped by legislative changes, evolving demand dynamics, and the imperative for infrastructure resilience. Investment opportunities remain robust, particularly in green technologies and infrastructure, despite anticipated reductions in government incentives and shifts in market dynamics.