A New World:

Adapting to Climate Change

A changing climate creates many issues that can profoundly influence a business’ bottom line and its ability to compete in a resource-constrained future – from changing weather patterns affecting agriculture to impending regulations that put a potential price on carbon emissions to natural disasters disrupting supply chains. As we have seen in our investments and more broadly in business, thoughtfully addressing and providing solutions to a changing climate can also be a source of opportunity.

Climate Change Solutions

Climate change is a global challenge and will require solutions at all levels. In the last five years, we have invested in a number of companies that are creating or utilizing innovative technologies and processes to be part of the solution in a carbon-constrained economy.

Whether Sundrop Farms, whose technology optimizes natural resource use in food production, or X-ELIO, whose utility-scale solar projects worldwide contribute to the clean energy economy, or Transphorm, whose power conversion devices and modules enhance efficiency and enable significant energy savings, we have invested in companies that are creating new technologies, job opportunities, and economic growth. Learn how we are supporting our portfolio companies’ innovative efforts to reduce energy use and associated costs here.

Investing in Renewable Energy

Investments in renewable energy are crucial as global energy demands and the need for clean alternatives continue to increase. In 2015 at the United Nations Framework Convention on Climate Change Conference of the Parties (COP 21) in Paris, France, nearly 200 nations signed an agreement on climate change adaptation and mitigation. As a result, renewable energy investments are at center stage as countries seek to reduce their use of fossil fuels. Businesses are essential in making these commitments a reality.

Since KKR’s first investment in a renewable energy company in 2011, our platform has continued to grow; we have invested in various solar, wind, and district heating assets with a combined enterprise value exceeding $6.9 billion.

Alternative Energy Investments

Alternative Energy Investments

The Continued Role of Fossil Fuels

The Firm continues to participate in conventional energy investments, including oil and natural gas. We believe that conventional energy sources are necessary during a long-term transition to a cleaner energy future, and in certain instances they continue to be a good investment proposition.

Looking Ahead

By anticipating and planning for the new operating conditions that are to come, companies will be better positioned to compete and more able to adapt in a changing environment. Climate change poses challenges, but when companies and investors engage thoughtfully, they can be part of the solution by driving opportunity through the launch of new processes, technologies, and jobs.

X-ELIO case study thumbnail

Case Study

X-ELIO: Increasing Access to Renewable Energy (2015) >

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Transform case study thumbnail

Case Study

Transphorm: Investing in Power Conversion Technology (2015) >

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Casestudy 200Px Res

Case Study

RES: Providing Ecological Solutions (2016) >

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