AES Acquires US Renewables Developer Community Energy Adding 10 GW of Renewable Projects to Growth Pipeline

Rhea-AI Summary

The AES Corporation (NYSE: AES) has announced the acquisition of Community Energy Solar, a major US solar developer, expanding its renewable project pipeline by 10 GW. This acquisition complements AES’s existing agreements for delivering 4 GW of renewable energy in 2021 and enhances its capabilities in reaching a net-zero energy future. With over 40 GW in its pipeline and industry-leading development expertise, AES aims to strengthen its position in the renewable energy sector.

Positive

• Acquisition adds 10 GW to AES's renewable project pipeline.
• Strengthens AES's position among leading US renewables players.
• Collaborative efforts towards achieving a net-zero energy future.

Negative

• None.

ARLINGTON, Va., Dec. 20, 2021 /PRNewswire/ -- The AES Corporation (NYSE: AES) today announced the acquisition of leading US solar developer, Community Energy Solar, LLC (Community Energy). AES has signed PPAs to deliver 4 GW of renewables in the US this year and the acquisition of Community Energy will further bolster the Company's future expansion efforts with a strong pipeline and skilled development workforce.

AES has experienced tremendous growth in renewables this year. Together, we'll work towards a net-zero energy future.

"AES has experienced tremendous growth in renewables in the US this year, placing it among the leading renewables players in the country. Community Energy has built a top reputation over the last 20 years for its ability to successfully develop renewables projects," said Leo Moreno, AES Clean Energy President. "The addition of Community Energy and its 10 GW pipeline to AES will complement our efforts to deliver highly innovative products to customers with a strong pipeline that now totals more than 40 GW across the country and an industry-leading development team to advance projects. Together, we'll continue to work towards our vision for a net-zero energy future."

With offices in Radnor, PA and Boulder, CO, the Community Energy team has been pioneering renewables development in the US for 20 years. Community Energy has developed more than 3 GW of solar and storage projects and opened the market for utility-scale solar as the first to develop a 100 MW scale project in seven states.

"Community Energy launched its solar business with a mission to commercialize utility-scale solar and decarbonize the grid, and we delivered by developing about 5% of all utility-scale solar built in US to date. Driven by the urgency of the climate crisis and the need for 10x growth in solar over the next decade, we decided it was time to amplify our impact by joining forces with a world-class partner," said Brent Beerley, Community Energy CEO.  "AES is the ideal partner for us because of their conviction on climate, their industry-leading innovation and most importantly, their people. Having worked closely with the AES team over the past several years, we have found a deep alignment on values and culture, which was essential to us. I am beyond grateful to our team, our board and AES for this opportunity." 

AES' US renewables portfolio now includes 4.4 GW of operating assets and 5.7 GW of signed PPAs.

About AES
The AES Corporation (NYSE: AES) is a Fortune 500 global energy company accelerating the future of energy. Together with our many stakeholders, we're improving lives by delivering the greener, smarter energy solutions the world needs. Our diverse workforce is committed to continuous innovation and operational excellence, while partnering with our customers on their strategic energy transitions and continuing to meet their energy needs today. For more information, visit AES here.   

Safe Harbor Disclosure
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES' current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our expectations regarding the COVID-19 pandemic, accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as the execution of PPAs, conversion of our backlog and growth investments at normalized investment levels and rates of return consistent with prior experience.

Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES' filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the risks discussed under Item 1A: "Risk Factors" and Item 7: "Management's Discussion & Analysis" in AES' 2020 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES' filings to learn more about the risk factors associated with AES' business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Any Stockholder who desires a copy of the Company's 2020 Annual Report on Form 10-K filed February 24, 2021 with the SEC may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. A copy of the Form 10-K may be obtained by visiting the Company's website at www.aes.com.

Website Disclosure
AES uses its website, including its quarterly updates, as channels of distribution of Company information.  The information AES posts through these channels may be deemed material.  Accordingly, investors should monitor our website, in addition to following AES' press releases, quarterly SEC filings and public conference calls and webcasts.  In addition, you may automatically receive e-mail alerts and other information about AES when you enroll your e-mail address by visiting the "Subscribe to Alerts" page of AES' Investors website.  The contents of AES' website, including its quarterly updates, are not, however, incorporated by reference into this release. 

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SOURCE The AES Corporation

FAQ

What is the significance of AES's acquisition of Community Energy?

The acquisition significantly expands AES's renewable project pipeline by 10 GW, enhancing its strategic capacity in the US solar market.

How many signed PPAs does AES have following this acquisition?

AES has signed PPAs to deliver 4 GW of renewables in the US this year.

What is AES's total renewable project pipeline after acquiring Community Energy?

AES's total renewable project pipeline now totals over 40 GW across the country.

What is the expected impact of the Community Energy acquisition on AES's growth?

The acquisition is expected to bolster AES's efforts in delivering innovative energy solutions and advancing its net-zero energy goals.