BlackRock Real Assets buys battery network business

The $1 billion buyout and spend commitment to Akaysha Energy demonstrates the investment giant’s continued support for green energy projects in Australia.

This is the first battery storage investment made by BlackRock’s Climate Infrastructure business, part of BlackRock Real Assets, in the Asia Pacific region.

As part of the acquisition, BlackRock will finance the development of over 1 GW (Gigawatt) of battery storage assets across Akaysha’s nine projects in the National Electricity Market (NEM).

Battery storage assets, which have the ability to solve the intermittency of renewable energy sources such as wind or solar power, also improve grid reliability by providing voltage management, system, inertia and frequency control.

At full capacity, Akaysha’s projects will help accelerate the deployment of an additional 4,000 MW (megawatts) of clean and affordable renewable energy supply across Australia, BlackRock said.

The investment is expected to reduce more than 15 million tonnes of CO2 equivalent emissions over the lifetime of the projects.

“As renewable energy infrastructure continues to mature in Australia, investment is needed in battery storage assets to ensure grid resilience and reliability, particularly with the continued earlier than planned retirement of power stations. coal,” said the co-director of BlackRock. climate infrastructure, said APAC Charlie Reid.

“For our customers, we see tremendous long-term growth potential in the development of advanced battery storage assets in Australia and other Asia-Pacific markets and we look forward to working with Akaysha to ensure a orderly transition to a cleaner and more secure energy future. “

BlackRock’s head of Australasia, Andrew Landman, added: “This investment reflects our commitment to accelerating Australia’s energy transition.”

“BlackRock is pleased to contribute to the development of significant battery storage assets that will improve grid infrastructure across Australia and, in effect, ensure the provision of increased energy security for all Australians.

Meanwhile, Akaysha Managing Director Nick Carter said that by leveraging BlackRock’s global capabilities and track record in climate infrastructure, Akaysha is excited to realize its ambitions by accelerating the installation of utility-scale energy storage.