U.S.-based private equity giant KKR & Co said on Monday it will invest A$500 million ($336 million) in CleanPeak Energy, an Australian renewable energy company, to scale its distributed energy operations targeting the country’s commercial and industrial sector.
The deal, part of KKR’s Global Climate Transition strategy, marks its first climate-related investment in the Asia-Pacific region and aims to expand CleanPeak’s portfolio of solar, battery storage and microgrid projects across Australia.
Net-zero Goals for C&I Sector
Founded in 2017, Sydney-headquartered CleanPeak operates over 50 distributed generation sites nationwide and manages more than 140 megawatts of solar assets and 35 megawatt-hours of battery energy storage. It is currently delivering more than A$200 million worth of renewable infrastructure projects.
KKR said the partnership will leverage its global energy and infrastructure expertise to help CleanPeak scale solutions that offer greater reliability and cost efficiency to large corporate customers seeking to reduce emissions.
“Australia’s C&I energy market is at an inflection point,” said Neil Arora, partner and head of KKR’s climate transition strategy for Asia. “This investment positions us to unlock significant decarbonisation opportunities while reducing energy costs for customers.”
CleanPeak Eyes Acquisitions
CleanPeak CEO Philip Graham welcomed the partnership, describing KKR as an ideal strategic investor. “They bring deep energy transition expertise and a partnership mindset that allows us to accelerate growth, including through bolt-on acquisitions,” Graham said.
The company provides fully integrated, financed renewable energy systems and microgrids, serving clients across more than 1 million square meters of commercial floor space. It also holds a retail electricity license, allowing it to supply power directly to end-users.
“Our distributed energy approach cuts network costs — a major part of total electricity bills — and results in more competitive power prices,” said COO Jon Hare.
Global Climate Ambitions
KKR has committed over $34 billion globally to climate and environmental sustainability investments since 2010. Other recent deals under its Global Climate strategy include UK-based battery storage firm Zenobē, German energy services firm EGC, and U.S. solar developer Avantus.
The CleanPeak transaction, expected to close in the second half of 2025 subject to regulatory approvals, is KKR’s sixth investment under the climate strategy and its latest bet on accelerating clean energy adoption in industrial sectors.
