Brookfield Renewable Targets AI Power Boom With Storage, Nuclear Expansion

Key Points

• Brookfield Renewable is targeting surging electricity demand from artificial intelligence, data centers, electrification and industrial reshoring by expanding renewable power, energy storage and nuclear operations.
• Storage is its fastest-growing segment, with more than 5 GW operating and development pipelines exceeding 30 GW; the company also plans to scale annual capacity deliveries to approximately 11 GW beginning in 2028.
• Brookfield raised its five-year capital-deployment target to more than $11 billion, supported by contracted and inflation-linked cash flows, asset sales and acquisitions, while corporate simplification and nuclear expansion could provide valuation catalysts.

Brookfield Renewable Partners NYSE: BEP outlined plans to expand its renewable power, energy storage and nuclear businesses as executives cited rising electricity demand, grid constraints and growing needs from data centers and artificial intelligence.

Chief Executive Officer Connor Teskey said the energy market is entering an era in which demand “significantly outweighs supply,” driven by electrification, industrial reshoring and energy-intensive AI and data-center growth. He said the company expects renewables, batteries and nuclear power to capture a substantial portion of new energy demand because of their respective cost, flexibility and baseload-power characteristics.

Focus on renewables, storage and nuclear

Teskey said Brookfield Renewable has operating platforms in 35 countries and is nearing a run rate of commissioning 10 gigawatts of new projects annually. The company has continued to expand its renewables operations through investments including Boralex and Isagen, while identifying opportunities to use existing grid connections and development sites for data-center-related powered-land projects.

The company also highlighted its hydroelectric portfolio, which Teskey said is the largest in North America. While hydro additions are limited, he said the existing fleet is being recontracted at higher prices, supporting cash-flow growth.

Energy storage is becoming the company’s fastest-growing segment, according to Teskey. Brookfield Renewable has built its storage operations through the 2024 acquisition of Neoen, focused on Europe and Australia, and the 2026 acquisition of Aypa, focused on North America. Teskey said the company has more than 5 GW of operating storage assets and an advanced pipeline exceeding 30 GW.

Managing Director of Investments Amanda Laszutko said the company had virtually no battery-storage capacity three years ago but now has 5 GW of operating capacity and an 80-GW development pipeline. She said battery costs have fallen roughly 60% over the past 24 months, while contracting structures have evolved to support long-term investment.

Laszutko cited a recently signed 15-year solar-plus-storage power purchase agreement in Australia with a large hyperscale customer. The 140-megawatt project was described as one of the customer’s first combined solar-and-storage PPAs in the country.

Brookfield Renewable also emphasized its exposure to nuclear power through Westinghouse. Teskey said Westinghouse services more than 60% of operating nuclear reactors globally and has technology for new nuclear construction. He said the company is pursuing nuclear-build opportunities in Europe, the Middle East and Asia, while Westinghouse has signed agreements with the U.S. government intended to support nuclear new-build activity.

Development and acquisition targets

Laszutko said Brookfield Renewable expects to deliver approximately 11 GW of new capacity annually beginning in 2028, nearly 40% above the capacity delivered over the previous 12 months. The company said it has a 90-GW advanced pipeline across solar, storage and wind projects.

Development has grown from less than 1 GW annually in 2021 to 8 GW over the past 24 months, according to Laszutko. She said the company combines local teams in 35 power markets with global development, commercial and financing capabilities.

The company also plans to continue pursuing large-scale acquisitions. Laszutko said Brookfield Renewable closed four investments over the past two years with enterprise values of more than $6 billion each. Collectively, those investments represent 15 GW of operating capacity and a 50-GW pipeline across 16 countries, she said.

Brookfield Renewable raised its five-year capital-deployment target to more than $11 billion from $10 billion. Laszutko said planned deployment includes nuclear, baseload power, solar, wind, storage and technologies reaching commercial inflection points.

Cash flow, funding and capital recycling

Chief Financial Officer Patrick Taylor said Brookfield Renewable reported record funds from operations per unit over the past 12 months and increased its distribution for the 15th consecutive year. He said the company raised $37 billion of financing in 2025 and expects financing raised in 2026 to exceed $40 billion.

Taylor said 90% of the company’s cash flows and generation are contracted for more than 12 years, while 70% of cash flows are inflation-linked. He also said more than 90% of cash generation comes from mature technologies and that 95% of financing is fixed-rate, with a 14-year term.

Without additional acquisitions, Taylor said the company expects to grow cash flows by more than 10%, supported by inflation-linked contracts, higher recontracting prices, operating-plan execution and development growth.

Capital recycling remains a central funding source. Taylor said Brookfield Renewable generated $1 billion of net proceeds from asset sales and capital recycling over the past 12 months and $4 billion over the past five years. The company expects to generate at least $1 billion annually from capital recycling going forward.

The company has also established two private renewable vehicles, Northview in North America and a European vehicle formed with Mitsubishi. Taylor said their seed portfolios total nearly $2 billion of equity, with frameworks to sell an additional $3.5 billion of equity over coming years.

Valuation catalysts

Executives identified corporate simplification, nuclear expansion and further scaling of the funding model as potential catalysts for the company’s valuation. Taylor said the proposed simplification is intended to create a single consolidated security, potentially improving liquidity, index inclusion and passive-investor demand.

During the question-and-answer session, Teskey said the company remains focused on ensuring operating performance is reflected in its share price. He said Brookfield Renewable could repurchase shares or pursue initiatives such as corporate simplification, adding that management views the market’s assessment of higher interest rates as disconnected from the company’s inflation-linked revenues and ability to pass financing costs through to customers.

About Brookfield Renewable Partners (NYSE:BEP)

Brookfield Renewable Partners L.P. is a renewable power and energy transition company that owns and operates a diversified portfolio of clean energy assets. Its main activities include generating electricity from hydroelectric, wind and solar facilities, as well as providing energy storage and other decarbonization solutions.

The company serves electricity markets and commercial, industrial and utility customers across North America, South America, Europe and the Asia-Pacific region. In addition to operating renewable power facilities, Brookfield Renewable develops new projects and invests in businesses supporting the transition to lower-carbon energy, including distributed energy and sustainable solutions.

Brookfield Renewable traces its origins to Brookfield Asset Management's renewable power operations and became publicly listed as Brookfield Renewable Energy Partners in 2011.

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