Main Street, which develops commercial and residential solar projects, announced the deal on Tuesday. However, AES Corp CEO Andrés Gluski discussed the transaction in a conference call last week.
Although modest in size, this business will provide us with the know-how to implement distributed solar generation in some of our international markets, where power prices are higher and solar resource is greater. We will focus on commercial and industrial customers, he said.
Specifically, Gluski mentioned Chile, the Dominican Republic and El Salvador as potential market opportunities.
We also think distributed solar is something which is affecting the industry, and we want to have our most current information, understand what’s happening, understand developments to be able to react faster, he added. Now given AES’s size and given that we have a modest investment, at this point, it will take some time to grow out.
AES, which claims the worlds largest fleet of grid-scale battery storage, plans to explore distributed storage through Main Street, which it has renamed AES Distributed Energy.
Having distributed solar and having the batteries together puts us in a very good position to react to changes in the marketplace with the growth of renewables, said Gluski, adding, But again, we’re starting off modest and like in batteries, we intend to make money from it.