Major international operators in renewable energies are projecting that revenue from renewables will surpass that of more traditional revenues within the next two to three years, says John Naudi, Chairman of PB Group, a Maltese specialist engineering company operating in the water and energy sector in multiple territories.

John Naudi entered the energy business over 20 years ago, gaining experience with several private organisations that exposed him to international business, gradually introducing him to the Water and Energy sector.

Today, the PB Group is present across 10 countries, by the end of 2023, will be employing over 110 full time employees and in 2024 will embark on its next internationalisation wave.

“Back in the early 2000’s, I already had a clear vision and set up business to leverage the knowledge intensity of leading global engineering players, bringing together the various players within the water and energy sectors. Over the years, we shaped a team of exceptionally competent people and eventually, following a very detailed and strategic restructuring plan in 2016, the PB Group was created.”

Naudi explains how PB Group’s international growth leaped ahead in 2013 with a 10-year strategic plan drawn up to enable the group to evolve into a more corporate organisation. In 2014, when with logistics becoming increasingly critical to its operations, PB Group decided to invest in its own logistics and IT divisions.

“The Group invested and structured itself with the objective of expanding its presence in different African countries and to diversify its portfolio of specialised engineering portfolio within the same sectors it operates in.”

Between 2013 and 2022, the Group succeeded in securing a strong pipeline of contracts in the Water and Energy Sector, from the several countries it operates in Africa, servicing both international partners and blue-chip clients in the process, establishing itself as a key specialised engineering product and service provider within the sector.

“We know the countries we operate in because we are physically based in them with our very own local employees which gives us a unique insight into the market.”

In 2013 PB Group started moving away from the traditional family business setup and more towards becoming a corporate organisation to give more importance to corporate governance and decision making. In 2020, as many companies struggled with the pandemic, PB Group was welcoming its first non-executive directors and a new CEO.

“The appointment of David Busuttil as CEO happened at the right time for the group when the market was reopening after the pandemic and several opportunities for growth were emerging. His appointment also meant that as founder and owner, I transitioned my role to ensure that our Board runs effectively, shaping strategy, considering opportunities but then entrusting our exceptional management team to execute and deliver.

If we want to grow, we have to be prepared to rapidly evolve and embrace innovation

“Experience taught me that a founder and owner of a business cannot perform the dual role of owner and CEO as both roles tend to have different priorities. Separating the roles ensured our organisation kept moving forward, a move which was proven by the fact that, since David’s appointment, the Group has seen tremendous evolution especially in terms of processes, IT and governance,” added Naudi.

As a company working in logistics, Naudi explains how PB Global Ltd, its own internal logistics division, became increasingly competitive on the market through better pricing and by having full control on the logistic operation of its projects.

“Today only five per cent of our logistics division revenues are derived through our group, with 95 per cent of the business generated through services offered to third parties.”

But with prices soaring and logistical arrangements becoming even more difficult, due to war in Ukraine, the supply chain is seeing unprecedented strains.

“Apart from rising costs of logistics, delivery times of material being supplied to the water and energy sector have close to doubled. The water and energy sectors are very slow moving and bureaucratic, meaning long price validities are required making our operations more complex than ever.” Aligned to its ESG agenda, two years ago, PB Group amplified its focus on the sustainability perspectives of the energy and water industries

“Major international operators in renewable energies are projecting that revenue from renewables will surpass that of more traditional revenues within the next two to three years. This shows how the industry is changing and if we want to grow, we have to be prepared to rapidly evolve and embrace innovation,” said Naudi.

He continued to explain how PB Group has embarked on several projects related to water treatment and water filtration as well as in various research initiatives related to sea water and the seabed.

“Water is also becoming an important resource as many are looking at investing heavily in hydrogen, an element easily provided by water.”

“This is why Malta needs to be ready to welcome opportunities within this sector by embracing the water and energy sectors, by investing in infrastructure that will allow us local operators to attract such opportunities, and by looking into various policy changes that will enable investment within this new emerging innovative domain.”

As a company operating within the water and energy sectors, the PB Group has always acknowledged the huge responsibility it has to carry towards the environment.

“PB Group has been implementing ESG policies long before ESG became a buzz word. Through our engineering, design and fabrication of high-end water treatment and filtration plants, we assist our clients in making sure that all residual water from the process of energy generation is treated and filtered to the required international standards before being disposed of. We have also optimized our logistics operation and have managed to reduce our carbon emission by 15 per cent on previous years.”

The Group’s Property Division, TIQUE, is involved in the design and development of high-end properties which are fully self-sustained and operate at a zero-carbon footprint and a recently finalized unique project that will be generating 30 per cent more energy and store 50 per cent more water than the actual annual requirement.

“I believe the current legislations and policies need to be revised and authorities need to incentivise investors to deliver more of these projects.”

True to its mission, the PB Group has defined itself as an operation ‘where growth is natural’.

“My vision for the company is a clear one. our next wave of growth will come from blending international engineering services with knowledge through our ambitious project of investment in the first ever Engineering Knowledge Hub in the region, a €5 million investment which will place Malta on the map of talent attraction for high-value engineering knowledge development.”

“Parallel with this we shall be actively pursuing M&A opportunities which will further consolidate our market position within the logistics sector and open up the Group to further internationalisation opportunities,” he concluded.