EIG, Acwa Form US$4 Bln US Power Partnership

KUALA LUMPUR, Oct 29 (Bernama) -- Energy and infrastructure investor EIG and Saudi-listed power producer Acwa have signed definitive agreements to establish Plenum Power, a strategic partnership targeting investments in the United States (US) power sector with an initial equity commitment of about US$4 billion. (US$1 = RM4.07)

According to the companies in a statement, the partnership plans to pursue acquisitions and develop new power generation and energy storage capacity in the US, where electricity demand is rising because of electrification and the rapid growth of artificial intelligence (AI) data centres.

Acwa will contribute its experience in developing and operating large-scale power infrastructure, while EIG brings its investment and financing expertise.

“The US power industry is at an inflection point, with demand accelerating as AI, data centres and electrification reshape the market,” said EIG Chief Executive Officer, R. Blair Thomas.

He said recent disruption in US renewable energy development, caused by regulatory changes, supply chain inflation and interest rates, had created an attractive entry point for a large new entrant.

Meanwhile, Acwa Chief Executive Officer, Dr Samir J. Serhan said the partnership combines complementary strengths in infrastructure investment, development and operations, and marks an important step in expanding Acwa’s international footprint.

The two companies have previously worked together on projects in the Middle East.

EIG has committed more than US$14.2 billion to power generation, renewable energy, energy storage and related infrastructure globally, while Acwa has a portfolio of 111 assets across 16 countries, representing US$127 billion in assets under management.

-- BERNAMA