Energy Transition

Powering the Energy Transition.

Rapid growth in renewable energy and a fragmented financing market presents the opportunity for private credit financing as the energy transition charges forward. Since 2016, AB CarVal has deployed more than $4.5 billion across a diverse portfolio, including developer and corporate financings, project financings, asset ownership, and residential strategies.

Private credit funding in the energy transition is fueled by the increasing demand for power due to growth in data centers and artificial intelligence, particularly in solar and battery storage development projects in the US and Europe. The need to modernize existing infrastructure and make an aging grid more reliable is top of mind, as is boosting transmission and energy-storage capacity.

Evolving incentive frameworks, new compliance requirements, and rising grid and permitting constraints across the US and Europe make projects more complex and increase execution risk. This calls for lenders like AB CarVal who can provide capital solutions for borrowers while structuring loans based on an accurate assessment of the risks that can arise across the development and construction lifecycle of complex energy projects.