Investor Presentaiton
power purchase agreement will be served by a 110-megawatt solar project in Washington State that we will construct,
and when the sun does not shine, the customer's energy requirements can be served from our hydroelectric assets
in British Columbia.
We continue to see select opportunities for growth in hydroelectric generation, especially for large and experienced
operators like us. Recently, our Colombian business acquired one of the largest privately held generation portfolios
in Colombia, comprised of seven recently built run-of-river hydropower plants with a total capacity of nearly 150
megawatts for approximately $425 million. This is the largest follow-on acquisition by our Colombian business since
our initial investment in 2016, and we expect it to be highly complementary and synergistic to our existing operations.
Update On Growth Initiatives
Since our last update, we agreed to invest approximately $2 billion (~$500 million net to Brookfield Renewable) of
capital across various transactions at our target returns of 12-15%.
In North America, we acquired Urban Grid, a leading utility-scale solar developer in the U.S. with a 20,000-megawatt
development pipeline and a strong position in the high-value PJM market. Its pipeline includes 2,000 megawatts of
under construction or ready-to-build solar projects and an additional 4,000 megawatts of de-risked advanced stage
buildout opportunities, that we expect to build out backed by corporate contracts over the next six years with additional
upside given the depth of its remaining pipeline. The purchase price is $650 million (~$160 million net to Brookfield
Renewable) with the opportunity to invest hundreds of millions of dollars into further growth in the future. In Europe,
we acquired a German utility-scale solar developer with a 1,700-megawatt pipeline, for approximately $80 million
(~$20 million net to Brookfield Renewable) and expect to develop at least 800 megawatts of new renewable capacity
over the next six years from this pipeline. These transactions provide late-stage development projects in core markets
to match with the abundance of corporate demand we are seeing for green power and will benefit from synergies with
our existing operations.
In the UK, we signed an agreement with a leading battery energy storage solutions provider for the option to fund and
own up to 800 megawatts of battery energy storage projects and almost 200 megawatts of co-located solar projects
over the next five years. Large and increasing exposure to intermittent renewables, together with the decommissioning
of thermal plants, has created significant demand for energy storage in the UK a dynamic we have great visibility
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on through First Hydro. We anticipate the buildout of the projects will require up to approximately $260 million of equity
(~$65 million net to Brookfield Renewable). This will grow our existing 3,400-megawatt global energy storage portfolio
and give us a leading position in the capacity-constrained UK market.
We continued to execute on our growth plans for distributed generation in the fourth quarter. With leading capabilities
in North America, South America, Europe and Asia, we are uniquely positioned to be a global solutions provider for
clean onsite generation. Our DG operating assets have grown to over 1,400 megawatts and our development pipeline
has increased to 6,400 megawatts. In the quarter, we expanded our distributed generation portfolio by acquiring 780
megawatts of operating and development assets in Europe and South America and we also signed a strategic
agreement with Shoals Technologies Group, a leading provider of solutions for storage, solar and eMobility, to pursue
distributed renewable energy generation and EV charging solutions across the U.S.
In Asia, we completed the acquisition of over 300 megawatts of wind, including a transaction alongside Apple's
Renewable Energy Fund, increasing our footprint in the region as well as benefiting from synergies with our existing
operations.
Finally, we achieved a record level of development over 2021. We commissioned approximately 1,000 megawatts of
new capacity and finished the year with almost 15,000 megawatts of construction and advanced-stage projects. These
projects are diversified across distributed- and utility-scale solar, wind, storage, hydro and green hydrogen in 14
different countries. In total, we expect these projects to contribute almost $180 million in annual FFO to our business
once completed.View entire presentation