ADQ, Energy Capital Partners seal $25bn partnership to power data centres

Abu Dhabi-based ADQ and US private equity firm Energy Capital Partners (ECP) have announced a 50-50 partnership to develop new power generation and energy infrastructure, aiming to address the rising electricity demands of data centers and energy-intensive industries.

The joint venture will focus primarily on the US market, with potential investments in select international regions.

The partners plan to invest over $25bn across 25 gigawatts (GW) of power generation projects, with an initial combined capital contribution of $5bn.

The initiative will prioritise greenfield developments, new builds, and expansion projects to ensure a stable power supply for hyperscale cloud companies and industrial electrification.

Meeting the rising demand for electricity

According to a report by the International Energy Agency (IEA), global electricity consumption is projected to rise at its fastest rate in recent years, driven by the rapid expansion of artificial intelligence (AI) and high-density data centres.

The US Department of Energy estimates that data centre power demand has tripled over the past decade and is expected to double or triple again by 2028.

Research indicates that data centre power consumption worldwide could increase by 50 per cent by 2027 and up to 165 per cent by the end of the decade.

“The acceleration of AI and its societal adoption presents attractive opportunities to serve the power and infrastructure needs of data centers and hyperscalers,” said Mohamed Hassan Alsuwaidi, MD and group CEO of ADQ. “Our partnership with ECP allows us to invest meaningfully in generation and infrastructure assets that support accelerating demand for power, promoting the progress of these industries and helping to future-proof economies.”

ECP’s founder and executive chairman, Doug Kimmelman, emphasised the urgency of new power generation to sustain AI-driven growth.

“AI will be a major driver of US economic and job growth over the coming decade, but not unless ample new electricity supplies are developed. Our focus in this partnership will primarily be on new-build natural gas-fired power generation assets at scale to meet the needs of hyperscalers on a timely basis,” said Kimmelman.

تماشياً مع نهج “القابضة” (ADQ) بالتركيز على الاستثمار في مشاريع البنية التحتية الأساسية، أسست “القابضة” (ADQ) مشروعاً مشتركاً مع “إنرجي كابيتال بارتنرز”، أكبر شركة خاصة تعمل في قطاع توليد الطاقة والطاقة المتجددة في الولايات المتحدة الأميركية. وسيُسهّل هذا المشروع المشترك تطوير… pic.twitter.com/GDafV9PLbD

— ADQ (@Adq_Official) March 19, 2025

ADQ-ECP strategic investment to enable long-term growth

ADQ, which manages over 25 portfolio companies across more than 130 countries, has made infrastructure investments a core part of its mandate, spanning key sectors such as energy, utilities, healthcare, and logistics.

ECP, founded in 2005, has built a strong track record as an investor in energy transition infrastructure, with ownership and operation of more than 83GW of power generation assets across major US markets.

Led by a team with deep expertise in power infrastructure, the joint venture is poised to begin project development immediately.

Specialised teams will oversee rapid origination and efficient commissioning of new power facilities to ensure reliable and sustainable energy supply for the digital economy.

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