The AES Corporation announced an agreement with Alberta Investment Management Corporation (AIMCo) to merge the sPower development platform, an independent U.S. solar developer, with AES’s U.S.-based clean energy development business. AES’s wholly-owned clean energy development business includes AES Distributed Energy and a wind development team formerly part of Advance Energy.
As states, communities and organizations make commitments and plan to reduce their carbon footprints, renewables are on track to be the fastest-growing source of electricity generation in the U.S. in 2020.
“We share our customers’ commitments to a more sustainable energy future. Together, we can create a safe, resilient and carbon-free grid,” said Andrés Gluski, president and CEO of AES. “The merger of sPower with AES’ clean energy business will benefit customers by providing access to a broader portfolio of product offerings as well as an expanded highly skilled and experienced team to drive innovation at scale.”
The merged renewables platform will bring together sPower’s and AES’ differentiated capabilities in solar, wind and energy storage to accelerate customers’ energy transitions.
“sPower has been one of our key infrastructure platforms since our initial investment made in partnership with AES in 2017,” sai Kevin Uebelein, CEO of AIMCo. “Our experience working with AES has shown that they are a world leader in delivering on customers’ sustainable energy needs, and the formation of this new renewables platform in the U.S. will take that capability to an even higher level. On behalf of our clients and consistent with our investment mandate, we are excited about the value the next phase of our partnership will bring to our many stakeholders.”
Future projects developed from the combined 12 GW development pipeline will be owned 75% by AES and 25% by AIMCo, leveraging the partnership with sPower. Although there is no change in ownership of operating assets and backlog, the newly formed platform will manage the 2.5 GW of operating assets and the existing 2.6 GW contracted backlog. The transaction is expected to close in the next few months upon successful completion of customary closing conditions.
“This platform will bring tremendous value to our customers as they pursue their business objectives and climate commitments,” said Leo Moreno, AES Clean Energy president. “Our expanded portfolio of innovative solutions based on cutting-edge technologies will enable us to work together with our customers to power their energy transitions while making a carbon-free future possible.”
News item from AES