ENGIE and Axium Acquire Energy System Serving Six Harvard-affiliated Medical Institutions in the Longwood Medical Area in Boston
April 3, 2018 – Boston, MA – ENGIE North America Inc. and Axium Infrastructure (operating jointly as Longwood Energy Partners) have completed the acquisition of a microgrid and district energy system serving six Harvard-affiliated medical institutions in the Longwood Medical Area in Boston – Beth Israel Deaconess Medical Center, Boston Children’s Hospital, Brigham and Women’s Hospital, Dana-Farber Cancer Institute, Harvard Medical School and School of Public Health, and Joslin Diabetes Clinic – under long-term utility contracts through 2051.
This microgrid and district energy system, with a capacity to produce 99 MW of electricity, 1,100,000 lbs/hr of steam, and 42,000 tons of chilled water, are integral to the day-to-day operation of these world-renowned medical facilities, which are active in critical research initiatives and have approximately 2,000 beds serving more than 100,000 inpatients and 2.4 million outpatients annually.
“We’re extremely proud to support energy needs of the hospitals of the Longwood Medical Area in their quest for high performance, resiliency, and sustainability,” said President and CEO of ENGIE North America Frank Demaille. “This project is perfectly in line with ENGIE’s strategy to drive customer-centric approaches, and we’re excited to bring our experience in energy production, operation, efficiency, procurement, and commodity risk management to the table. District energy networks are among the most efficient, reliable, and cost-effective ways to provide energy security while reducing the carbon footprint. Within ENGIE, it is our conviction that district heating and cooling networks can be the backbone of more sustainable and resilient hospital campuses and cities.”
“Axium is thrilled that our consortium has the opportunity to provide competitive and reliable energy services essential to the hospitals’ health and research mission,” said Thierry Vandal, President of Axium Infrastructure US. “This investment is a great addition to our existing North American portfolio of over 100 core energy, transportation, and social infrastructure assets. Axium continues to focus on developing relationships with high quality partners and counterparts, under long-term agreements providing for strong and predictable cash flows.”
In 2017, ENGIE and Axium were awarded a 50-year contract to operate and optimize The Ohio State University’s utility system for its flagship campus in Columbus, Ohio. Globally, ENGIE is a major player in sustainable heating networks fed from renewable sources or waste heat and in highly efficient cooling networks that are typically 50% more energy efficient than individual cooling solutions and generate 50% less CO2. ENGIE operates more than 250 low-carbon urban heating and cooling networks in 13 countries, including some of the most emblematic European district systems in places such as the London Olympic Park, the cities of Paris, Marseille, Barcelona, and Lisbon, as well as in the city of Cyberjaya in Malaysia. The company also has a 40% stake in Tabreed, which has more than 70 district cooling plants located throughout the Gulf Cooperation Council in the Middle East.
About ENGIE North America
ENGIE North America Inc. manages a range of energy businesses in the United States and Canada, including clean power generation and cogeneration, retail energy sales, and comprehensive services to help customers run their facilities more efficiently and optimize energy and other resource use and expense. Nearly 100 percent of the company’s power generation portfolio is low carbon or renewable. Globally, ENGIE is the largest independent power producer and energy efficiency services provider in the world, with operations in 70 countries employing 150,000 people, including 1,000 researchers in 11 R&D centers. For more information, please visit www.engie-na.com, @ENGIENorthAm, and www.engie.com.
Axium Infrastructure Inc. is an independent portfolio management firm dedicated to generating long-term investment returns through investing in sustainable core infrastructure assets. Axium manages dedicated infrastructure funds having over $2 billion in assets under management as of December 31, 2017, as well as approximately $1 billion in co-investments. The firm benefits from the capabilities of a group of specialists with decades of experience acquiring, developing, financing, operating and managing infrastructure assets. Focus is placed on assets that are supported by robust market demand and under long-term contract with creditworthy counterparties. Since the launch of its first fund in 2010, the firm has invested, or committed to invest, in a diversified portfolio of over 100 North American infrastructure assets. For further information, please visit www.axiuminfra.com.