Engie slows US renewable energy projects amid tariff uncertainties
Engie's finance chief Pierre-Francois Riolacci expressed concerns over the difficulty in determining the final price for customers, which has led to this strategic slowdown.
Despite the delay in new projects, Engie's existing development pipeline remains unaffected.
The company is seeking clarity on the Inflation Reduction Act (IRA) for future projects that have not yet reached the final investment decision stage.
Engie CEO Catherine MacGregor highlighted the importance of the IRA, which aims to boost the US green energy economy, and noted that capital could be redirected to other markets such as Brazil, Australia, India and the Gulf states if uncertainties persist.
The company had 8.5GW under construction across more than 100 projects under renewables and BESS at the end of March 2025.
Engie reported a 0.5% increase in earnings before interest and tax (EBIT) to €3.7bn ($4.14bn), excluding nuclear power, in the first quarter of 2025.
However, Engie's finance chief cautioned that full-year EBIT might not match the strong performance of the first quarter, which benefited from high gas and power prices and increased winter demand.
The company maintains its 2025 forecast for net recurring income of €4.4bn to €5bn.
ENGIE North America has teamed up with funds managed by CBRE Investment Management (IM) on a 2.4GW portfolio of battery storage assets in the US states of Texas and California.
ENGIE will retain a controlling share and continue to operate and manage the portfolio, which comprises 31 projects across territories of the Electric Reliability Council of Texas (ERCOT) and California Independent System Operator (CAISO).
ENGIE North America chief renewables officer and senior vice-president Dave Carroll stated: "We are delighted that ENGIE and CBRE IM are partnering in this industry-leading transaction, supporting 2.4GW of storage that will support the growing demand for power in Texas and California.
'The scale of this portfolio reflects ENGIE's commitments to meeting the energy needs of the US and increasing the resilience of the ERCOT and CAISO grids."
In early May 2025, NHOA Energy, together with ENGIE, commenced construction of a 400 megawatt-hour (MWh) BESS in Kallo, Beveren, Belgium.
"Engie slows US renewable energy projects amid tariff uncertainties" was originally created and published by Power Technology, a GlobalData owned brand.
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This story was produced by Floodlight and reviewed and distributed by Stacker. © Stacker Media, LLC.
