The US-based private equity firm ArcLight Capital Partners, which specializes in energy and infrastructure investments, has acquired the US power developer Advanced Power as part of a plan to build 20 GW of natural gas-fired power plants across the United States primarily to supply energy-hungry data centres. The company intends to invest approximately US$5bn over the next five years and has already committed an initial US$1bn in equity to develop new power infrastructure.

ArcLight estimates that the new gas plants could be brought online within 2 to 7 years. It also plans to develop solar and battery storage projects, with a focus on power grids stretching from the East Coast to the Midwest, Texas, and the desert Southwest.

ArcLight currently operates a 26 GW power portfolio and has expertise across conventional power, renewables, battery storage, transmission, gas infrastructure, and digital power systems. Advanced Power adds to the partnership more than 12 GW of late-stage power projects and over 10 GWh of energy storage capacity across the United States. ArcLight declined to disclose the purchase price for privately held Advanced Power.