Brookfield Renewable, a renewable asset management firm, has announced the $650 million acquisition of US-based clean electricity developer Urban Grid and its project pipeline by its institutional partners. Brookfield Renewables’ capacity in the US is estimated to approximately triple to around 31 GW as an outcome of the acquisition.

Under the terms of the agreement, Urban Grid will continue to operate in the United States under its current brand identity. Brookfield Renewable will engage with Urban Grid’s team to maximise the value of Urban Grid’s development pipeline by leveraging its operating and commercial expertise. Urban Grid currently has around 2 GW of solar capacity under construction or in the ready-to-build phase, as well as 4 GW worth of de-risked advanced stage buildout opportunities.

In March 2021, Plug Power Inc., a leading provider of hydrogen solutions, together with Brookfield Renewable, planned to build a green hydrogen production plant utilizing 100-per cent renewable energy from Brookfield Renewable Corporation’s Holtwood hydroelectric facility as part of a previously announced partnership. The plant would be located along the Susquehanna River in south-central Pennsylvania.

REGlobal’s Views: Large renewable energy firms like Brookfield Renewable have been increasingly taking the M&A route to expand their market shares and clean energy portfolios especially as the United States has emerged as one of the most favorable renewable energy investment destinations.