AES Corporation

The AES Corporation

File:AES Corporation logo.svg Logo of The AES Corporation
Company type	Public
Industry	Utility, Power generation
Founded	January 28, 1981 (1981-01-28) in the United States
Founder	Roger Sant, Dennis Bakke
Headquarters	Arlington, Virginia , United States
Area served	Worldwide (15 countries)
Key people	Andres Gluski (CEO)
Products	Electricity generation and distribution, Renewable energy, Energy storage solutions
Revenue	US$12.7 billion (2023)
Net income	US$249 million (2023)
Total assets	US$44.8 billion (2023)
Number of employees	9,600 (2023)
Website	www.aes.com

The AES Corporation is a U.S.-based utility and power generation enterprise with its main office located in Arlington, Virginia. It owns and manages power generation facilities that produce and distribute electricity to both end consumers and intermediaries such as utilities and industrial clients. AES ranks among the global Fortune 500 companies in the power sector, operating in 15 countries and employing around 9,600 individuals worldwide. In 2023, the company reported revenues of US$12.7 billion, a net profit of US$249 million, and total assets valued at US$44.8 billion.

20th century

Founded on January 28, 1981, as Applied Energy Services by entrepreneurs Roger Sant and Dennis Bakke—who previously served in the Federal Energy Administration under President Richard Nixon—the company initially provided consulting services. It later evolved into AES Corporation and went public in 1991. Sant held the roles of chairman, CEO, and president, while Bakke began as executive vice president before becoming president in 1987 and CEO in 1994. Bakke remained at the helm until his departure in 2002 during a liquidity crisis triggered by the collapse of energy giant Enron.

21st century

Sant continued as executive chairman until 2003 and stayed on the board until 2006. Paul Hanrahan succeeded him as president and CEO, guiding AES through a period of stabilization throughout the following decade. Up until the early 2000s, AES operated under a self-management philosophy, granting employees considerable autonomy. In 2012, Andres Gluski took over from Hanrahan as CEO and undertook restructuring efforts that reduced AES’s footprint from 28 to 16 countries, emphasizing consolidation and cost efficiency. Gluski also spearheaded initiatives to decrease the company’s carbon emission intensity.

During the leadership of Bakke and Sant, AES expanded internationally by developing power plants in 29 countries and increasing its workforce from 1,400 to 32,000 employees. Their management style was decentralized, focusing on social responsibility alongside profitability. More recently, AES has pivoted toward renewable energy sources, prioritizing solar and wind power generation as well as energy storage solutions globally.

In 2000, AES acquired Indianapolis Power & Light (Ipalco), which was renamed AES Indiana in February 2021. That same year, it purchased Chilean subsidiary Gener. The acquisition of Dayton Power & Light (DPL Inc.) occurred in 2011; this entity was rebranded as AES Ohio in February 2021.

For fiscal year 2015, AES reported revenues totaling $15 billion. The company broadened its renewable energy portfolio by acquiring sPower—the largest independent solar developer in the United States—in 2018, followed by Community Energy Solar in December 2021 to enhance its solar and storage project pipeline with an objective to deliver 4 GW of renewable capacity across the U.S.

Fluence

Established in January 2018, Fluence is a collaborative venture between AES Energy Storage and Siemens dedicated to advancing technologies and services related to energy storage. Headquartered in Washington D.C. and chaired by former AES Vice President Stephen Coughlin, Fluence combines AES’s expertise in lithium-ion technology with Siemens’ extensive industrial network worldwide to address increasing demand for clean energy solutions. Operating across 16 countries, notable projects include:

1. A 40 MW energy storage system for San Diego Gas & Electric.
2. Three solar-powered installations in Arizona alongside two additional 10 MW projects located in the Dominican Republic.
3. Six grid-stabilizing storage systems deployed throughout Germany.
4. A hybrid microgrid on Ventotene Island in the Mediterranean developed jointly with Italian utility Enel; this system integrates diesel generators with renewable resources to lower carbon emissions.

Fluence’s platforms demonstrate its strategic role in shaping the energy storage market, strengthening its competitive positioning and supporting business expansion internationally.

Core Fluence Technologies

Fluence utilizes three main technologies for grid solutions:

i) SIESTORAGE: This energy storage system primarily relies on wind and solar power, incorporating closed-loop control mechanisms and pulse modulation within its semiconductor components to boost system dependability.

ii) Advancion: A lithium-ion battery-based modular storage platform, designed to maintain steady output by deploying numerous small-scale nodes.

iii) Sunflux Energy: Introduced in January 2018, this innovation enhances photovoltaic solar energy by capturing power during peak sunlight periods to prolong energy availability.

Upcoming Projects Utilizing Fluence Technologies

Fluence's most significant initiative is a 100–400 MWh energy storage facility for Southern California Edison, situated at AES’s Los Alamitos power center.

In January 2018, AES India collaborated with Mitsubishi to initiate the construction of a 10 MW energy storage installation in Rohini, India. Employing Advancion technology, this project aims to become India’s inaugural utility-scale grid storage system.

sPower

Based in Salt Lake City, sPower was acquired in 2017 from Fir Tree Partners Inc through a joint acquisition with Alberta Investment Management Corporation. It is a prominent developer of utility-scale solar projects across the United States, active in 11 states with significant operations in California and North Carolina. Its asset portfolio includes 1.3 GW of operational solar and wind facilities, alongside more than 10,000 MW under development.

Drone Technology Investment

To improve safety and operational productivity worldwide, AES formed a partnership with drone provider Measure to conduct inspections of energy infrastructure sites across 17 countries.

North American Assets and Subsidiaries

• AES Ohio (formerly Dayton Power and Light Company)
• AES Indiana (previously Indianapolis Power & Light Company)
• Premier Power
• AES Energy Storage – managing some of the world’s largest battery storage facilities
• AES Puerto Rico
• AES Colón power plant, Panama

Argentina-Based Facilities

• TermoAndes: Situated in Salta province and acquired by AES in 2000, this hybrid facility runs on gasoline and diesel fuels with a capacity of 643 MW.
• Alicura: Purchased in 2000, this hydroelectric plant represents a major renewable asset with a capacity of 1,000 MW.
• Guillermo Brown: Located in Buenos Aires province and acquired in 2016, this gas turbine plant operates on natural gas and diesel fuel, producing 576 MW.
• Los Caracoles: Owned by AES Argentina in Buenos Aires, this hydroelectric station generates 12 MW; operations are conducted through multiple agreements despite public equity ownership.
• Paraná-GT: Acquired in 2001 and situated in San Nicolás de los Arroyos, this facility uses gasoline and diesel fuels with an installed capacity of 845 MW.
• Carba Corral: Based in Salta province and acquired in 1995, this hydroelectric plant has an installed capacity of 102 MW.
• Sarmiento Power Plant: Owned by AES Andes in San Juan Province since 1996, this plant operates on gas and diesel fuels with three turbines each rated at 11 MW for a total capacity of 33 MW.

Headquartered in Brazil

• AES Brazil: Established in 1997, this entity is jointly owned by AES and the Brazilian Development Bank.
• AES Tietê: A principal asset operating under AES Brazil.

Headquartered in Chile

• AES Andes

Headquartered in the United Kingdom

• Ballyumford Power Station: Purchased in 2010 and situated in County Antrim, it stands as the largest power generation facility on the Irish mainland with a capacity of 1,017 MW.
• Kilroot Power Station: Acquired in 1992 during AES’s initial international expansion, this plant is located on the north shore of Belfast Lough and delivers around 702 MW through oil, gas, and turbine units.
• Array: An advanced energy storage installation at Kilroot Power Station employing Fluence’s Advancion technology. It represents the UK’s largest battery storage system with a connected capacity of 10 MW.

Headquartered in Bulgaria

• Maritsa Iztok: AES acquired this 690 MW coal-fired power complex in Galabovo in 2011, recognized as Southeast Europe’s largest energy facility.
• St. Nikola: Bulgaria’s biggest wind farm, generating 156 MW near Kavarna, constructed in 2009. AES Geo Energy received accolades including the 2008 "Sustainable Energy Deal of the Year" and the 2009 "Investor of the Year" for this initiative.

Headquartered in the Netherlands

• Netherlands ES: Located in Vlissingen, this 10 MW battery energy storage system utilizes AES’s Advancion platform to provide a modern alternative to conventional power plants.
• Formerly Elsta: A combined heat and power station near Terneuzen with a generation capacity of 630 MW fueled by natural gas turbines. AES acquired a 50% interest in 1998; ownership transitioned to Dow Terneuzen as of 2024.

Headquartered in Jordan

• Amman East Power Plant: This combined cycle gas facility produces 380 MW and is located in Al Manakher. Commissioned in 2009, it is co-owned by AES and Mitsui & Co., with Qatar Electricity & Water Corporation acquiring a stake in 2011.

Headquartered in Kazakhstan

• Ust-Kamenorgorsk: A coal-fired power plant with a capacity of 1,372 MW situated in East Kazakhstan, acquired by AES in 1997.
• Sogrinsk CHP: Operated by CHP LLP, this coal plant has a capacity of 345 MW and was purchased by AES in 1997.
• Formerly Shulbinsk Hydroelectric Power Plant: A hydroelectric facility generating 702 MW located near Semey, acquired by AES in 1997.
• Formerly Ust-Kamenogorsk HPP: Hydroelectric power station on the Irtysch River close to Ust-Kamenogorsk with a total output of 340 MW, also acquired by AES in 1997.

Headquartered in the Philippines

• Masinloc Power Plant: Acquired for $930 million in 2009, this coal-fired power station produces 630 MW and is situated in Zambales Province on Luzon Island. Its location near the Pacific Rim ensures reliable infrastructure with opportunities for future capacity growth.
• Masinloc ES: Introduced in 2016 by AES subsidiary Masin-AES Pte. Ltd, this pioneering 10 MW battery energy storage system is the first of its kind in the Philippines, improving grid reliability across Luzon.

Operations in Vietnam

• Mong Duong 2: This coal-powered facility, with a capacity of 1,240 MW, is located in Cam Pha and has been functioning since 2015. It was established through a Build-Operate-Transfer (BOT) contract involving Electricity of Vietnam (EVN) and Vinacomin, marking it as the largest power project managed by the private sector within Vietnam.

Indian Assets and Affiliates

• OPGC Plant: Purchased in 1998, this coal-fired power station generates 420 MW and is situated in Odisha.
• OPGC II: Currently in the development phase, this coal plant is expected to contribute an additional 1,300 MW to the grid once finalized.