EDF has signed an agreement with private equity firm KKR that gives the latter an irrevocable right to acquire EDF Power Solutions’ operations and assets in the US and Canada.
The North American business operates renewable energy and storage assets with a combined net installed capacity of 5.6GW.
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Under the agreement, EDF retains the option to sell these assets.
EDF Power Solutions’ activities include developing, constructing and running renewable power plants, storage sites, smart electric vehicles (EVs) charging infrastructure and microgrids throughout the US and Canada.
The proposed transaction is subject to consultation with employee representative bodies and requires approval from relevant governance authorities before completion.
The financial terms of the deal have not been disclosed.
Separately, EDF has entered into a series of long-term power purchase agreements (PPAs) with Enviromena for three solar projects in the UK, which are supported by the contract for difference (CfD) scheme.
The Long Pasture, Steeraway and Rock Farm solar farms are currently under construction and amount to more than 150MW of solar capacity.
Under the agreements, EDF acts as the route-to-market offtaker.
The PPAs incorporate real-time market optimisation technology designed to limit exposure to negative electricity prices via intra-day trading.
Each agreement is structured to reflect the CfD revenue model, with commercial terms that align with the index-linked government contracts for the sites.
The contracts include provisions for optimisation using AI and market software, as well as EDF’s trading expertise.
Enviromena described the agreements as among the first in the UK to use this form of real-time optimisation within a CfD PPA framework.
Enviromena chief commercial officer Lee Adams said: “These agreements reflect the commercial sophistication we are applying across our operational portfolio.
“Securing long-term PPA arrangements with a counterparty of EDF’s scale provides revenue certainty that complements our CfD contracts, while the optimisation technology built into these agreements is a meaningful step forward in how solar generators can manage their exposure to market volatility.”
Earlier this month, EDF power solutions North America and Masdar signed 15-year PPAs for output from the BigBeau Solar+Storage Project in Kern County, California, US.
