Brookfield buys National Grid's renewables for US$1.7 billion
National Grid Plc agreed to sell its U.S. onshore renewables business to Brookfield Asset Management for US$1.7 billion after United States President Donald Trump vowed to curb the growth of green electricity.
The deal comes as developers are waiting for news about the durability of tax incentives enshrined in the Inflation Reduction Act passed by former President Joe Biden. So far, Trump’s actions have mainly targeted offshore wind. The executive branch has less ability to unilaterally affect facilities that are mostly built on private land and supported by leaders in both major political parties.
The transaction is expected to be completed in the first half of the financial year ending March 31, 2026, according to a statement Monday. It’s part of a £6.8 billion (US$8.6 billion) capital raise program announced by National Grid last year to fund investments in the power network.
Shares in National Grid rose as much as 1.6 per cent in London trading.
The deal is the latest major investment by Brookfield in renewable power, following a £1.75 billion stake in U.K. offshore wind farms last year. It signals Brookfield’s dedication to the sector and ability to make countercyclical bets after broader investor enthusiasm for green power waned in recent years.
National Grid’s renewables division develops, constructs, owns and operates large solar parks, onshore wind farms battery storage assets in the U.S. It has 1.8 gigawatts in operation and a further 1.3 gigawatts under construction.
The firm is keeping other parts of its business, including the power and natural gas networks National Grid owns in New York and Massachusetts that serve more than 20 million people.
It also has a joint venture with Germany’s RWE AG to develop
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