AGL Energy has announced it will acquire battery storage company Firm Power and solar developer Terrain Solar for approximately $250 million.
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Firm Power is a Battery Energy Storage System (BESS) developer with 21 projects in development, and Terrain Solar is a solar project developer with six projects in development.
The combined development pipeline for the acquisition totals 8.1GW.
AGL managing director and CEO Damien Nicks said, “Today’s announcement demonstrates our commitment to grow and accelerate our development pipeline, which is already 6.2GW, so that AGL is best placed to take advantage of market conditions and prioritise developments that generate the best longterm value and be a leader in the energy transition.
“The group’s development pipeline includes several mid-sized BESS projects, ranging between 200-500MW and two-to-eight-hours storage duration.
“We believe this high-quality development pipeline presents strong optionality for AGL, focusing on firming capacity which will be required to firm new renewable generation for our customer base and portfolio as thermal baseload generation exits the NEM.”
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The acquisition is expected to be funded from cash on AGL’s balance sheet.
