NGP Energy Capital Management has committed $200 million to Liminal Energy, a new US battery storage developer founded by former UBS Asset Management executives Ken-Ichi Hino and Mark Saunders. The firm plans to build utility-scale battery projects to address grid reliability challenges.

Surging electricity demand from data centres is straining ageing power grids. Batteries can store excess power and release it during peak demand, helping to stabilise systems stressed by extreme weather and AI workloads. This investment follows NGP's three-year search for a storage team.

Private equity is increasingly targeting the intersection of AI infrastructure and power markets. Utilities and developers are racing to secure capacity as demand rises. Liminal's projects could reduce grid volatility and accelerate connections for new data centres.