UGI Energy Services acquires 33% of Ag-Grid Energy

In Pennsylvania, UGI Energy Services, LLC acquired a 33% equity interest in Ag-Grid Energy LLC, a renewable energy producer with projects in the United States. Ag-Grid currently develops and operates small scale renewable power projects that support local energy demands while lowering emissions. 

Ag-Grid is currently engaged in the production of renewable power with four operational projects, in Connecticut and Massachusetts, and two under construction with a target completion date in December 2022. These six projects include the conversion of dairy waste and roughly 16 million gallons of food waste annually from nearby food manufacturers to renewable power. Ag-Grid also has food waste de-packaging services at selected sites. The renewable power, currently produced annually through the use of anaerobic digesters, is sold through long-term net metering contracts to local utility and industrial customers. Approximately 1,300 kilowatts of power generation capacity is now in-service with the four existing projects, and an additional 1,500 kilowatts is expected after the completion of the two projects under construction in Connecticut and New York. 

Ag-Grid also has a strong pipeline of dairy and food waste digester projects that are expected to produce additional renewable power and renewable natural gas in the U.S. GHI Energy, LLC, a wholly owned subsidiary of UGI, will be the exclusive off-taker and marketer of RNG for Ag-Grid.