Brookfield Renewable and its institutional partners have agreed to acquire US-based renewable energy firms Scout Clean Energy and Standard Solar for $1.5bn.

Brookfield Renewable will pay $1bn to Scout Clean Energy as part of the deal.

It has also committed to investing an additional $350m to support Scout’s business development activities.

Scout currently has an operating wind portfolio of 1.2GW, 400MW of which is managed on behalf of third parties.

It also has a pipeline of more than 22GW of wind, solar and energy capacity across 24 US states.

For the Standard Solar acquisition, Brookfield Renewable will pay a $540m consideration, with the potential to invest an additional $160m to support the business’ growth initiatives.

Standard Solar owns and operates commercial and community distributed solar projects in the US, with end-to-end development capabilities.

It has nearly 500MW of capacity across operating and under-construction contracted assets, as well as a pipeline of around 2GW.

The two investments will be made through Brookfield’s renewable energy fund, Brookfield Global Transition Fund I.

Brookfield Renewable said that Scout and Standard Solar will continue to operate as independent business entities within its US platform.

Brookfield Renewable CEO Connor Teskey said: “We underwrote both transactions without the benefit of the Inflation Reduction Act so the additional incentives now available represent a significant boost to each business.

“Our development pipeline in the US is now close to 60GW and is well diversified across wind, utility-scale solar, distributed generation and energy storage.

“Combined with our existing fleet we are well-positioned for continued growth as owners and operators of one of the largest diversified clean power businesses in the country.”

A subsidiary of Brookfield Asset Management, Brookfield Renewable currently has around 24GW of installed capacity and around 100GW in development.

In January this year, the company acquired US-based clean power developer Urban Grid and its project pipeline for $650m.