Batteries boost as Brookfield seals $20bn energy transition warchest
Source：pv magazine
Brookfield, the Canadian investor which owns French battery energy storage system (BESS) developer Neoen, has closed what it described as “the world’s largest private fund dedicated to the transition to clean energy.”
The $20 billion committed to the Brookfield Global Transition Fund II was topped up by a further $3.5 billion or so co-invested into the Toronto-based investor’s portfolio.
Announcing closure of the fund at the start of the month, Brookfield said $5 billion of the commitments had already been spent on acquisitions including Neoen and the Evren joint venture set up by Brookfield and Hyderabad-based developer Axis Energy Group. Brookfield, which said Evren aims to drive more than 10 GW of storage, solar, and wind projects, also used the cash to acquire US-based energy company Geronimo Power.
The $20 billion committed to the fund includes previously announced injections of $2 billion from Emirati investment vehicle Altérra and $1.5 billion from the investment management division of Norwegian central bank Norges Bank.
The amount raised broke the record set by Brookfield’s previous, $15 billion energy transition fund, which invested in battery energy storage and renewables as well as carbon capture, sustainable aviation fuel, and nuclear services – via a majority stake in Westinghouse.
Announcing closure of the fund Connor Teskey, president of Brookfield Asset Management and CEO for renewable power and transition, said, “Energy demand is growing fast, driven by the growth of artificial intelligence as well as electrification in industry and transportation. Against this backdrop we need an ‘any and all’ approach to energy investment that will continue to favor low carbon resources. Our strategy will succeed by investing in the technologies that will deliver clean, abundant, and low-cost energy and transition solutions that underpin the global economy.”