TotalEnergies and global investment firm KKR have agreed to expand their United States renewable-energy joint venture by adding 700 megawatts of solar capacity in a portfolio valued at $1.2 billion.
The agreement covers three utility-scale solar projects in Texas and Ohio, which are expected to begin commercial operations by the first quarter of 2027. Once completed, the expansion will lift the joint venture’s portfolio from 1.4 gigawatts to 2.1 gigawatts.
TotalEnergies and KKR created the 50/50 joint venture in 2025. The latest deal strengthens their position in the U.S. renewable-energy market, where demand for large-scale solar power is rising as data centers, manufacturing and electrification increase electricity consumption.
What the deal covers
The newly added assets are three solar projects under development in Texas and Ohio. They are expected to reach commercial operation by early 2027.
The portfolio has an enterprise value of $1.2 billion. TotalEnergies will continue to operate the facilities after completion, while the assets will be jointly owned by the two partners under the existing venture structure.
Electricity from the projects has already been sold to third parties or will be marketed by TotalEnergies. The company did not disclose the buyers or the value of the power-purchase agreements.
A growing partnership
The expansion builds on the companies’ 2025 agreement, under which TotalEnergies sold a 50% stake in a 1.4-gigawatt North American solar portfolio to KKR. That transaction valued the original portfolio at $1.25 billion and covered six utility-scale solar assets and 41 distributed-generation assets.
TotalEnergies retained a 50% stake in the original assets and continued to operate them after closing. The new agreement follows the same structure, with TotalEnergies contributing the additional solar assets and KKR jointly owning them through the partnership.
The transaction is expected to close in 2026, subject to customary closing conditions.
Why it matters
The deal comes as U.S. electricity demand is rising sharply, driven by data centers supporting artificial intelligence, manufacturing expansion and transport electrification. Utility-scale solar can add generation capacity relatively quickly, although its output remains weather-dependent and requires storage or complementary generation to provide reliable supply.
For TotalEnergies, the transaction supports its strategy of expanding its electricity business. The company reported more than 37 gigawatts of gross renewable-generation capacity at the end of June 2026 and aims to produce more than 100 terawatt-hours of net electricity annually by 2030.
For KKR, the deal expands its exposure to U.S. clean-energy infrastructure. The firm has committed more than $23 billion to energy-transition investments through its infrastructure platform.
Wider construction boom
TotalEnergies and KKR’s solar expansion adds to the growing U.S. industrial construction pipeline, alongside projects such as Hertha Metals’ Hertha Chalyx plant in Texas. While the TotalEnergies-KKR deal will expand solar-generation capacity, Hertha’s Conroe facility is being built to supply high-purity iron for U.S. rare-earth magnet manufacturers.
energyRe’s $815 million financing for five South Carolina solar projects further underscores the scale of the U.S. solar buildout, adding another 360MW of planned capacity to a market where developers are increasingly relying on long-term contracts and institutional finance to move projects forward.
What to watch
The main question is whether the three projects can begin operations on schedule in early 2027. Delays in permitting, grid interconnection, equipment supply or construction could affect the timeline.
The transaction also signals that large energy companies and private investors continue to see U.S. solar as a major growth market, despite policy uncertainty and competition for grid capacity. If completed, the expanded joint venture will give TotalEnergies and KKR a 2.1-gigawatt portfolio across Texas and Ohio.
TotalEnergies and KKR U.S. solar projects: Fact Sheet
- Announcement date: October 12, 2026.
- Parties: TotalEnergies and KKR.
- Deal: Expansion of their 50/50 U.S. renewable-energy joint venture.
- New capacity: 700 megawatts of solar power.
- Assets: Three utility-scale solar projects.
- Locations: Texas and Ohio.
- Portfolio value: $1.2 billion.
- Expected commercial operation: First quarter of 2027.
- Portfolio after expansion: 2.1 gigawatts, up from 1.4 gigawatts.
- Operator: TotalEnergies will continue operating the assets.
- Expected closing: 2026, subject to customary conditions.
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