Brookfield Renewable Partners 6K Current report | BEP 4 Aug 23

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION


UNAUDITED (MILLIONS)	Notes	June 30, 2023		December 31, 2022
Assets
Current assets
Cash and cash equivalents	15	$	1,202	$	998
Restricted cash	16	136		139
Trade receivables and other current assets	17	1,633		1,860
Financial instrument assets	5	173		125
Due from related parties	20	211		123
Assets held for sale	4	263		938
		3,618		4,183
Financial instrument assets	5	1,732		1,500
Equity-accounted investments	14	1,644		1,392
Property, plant and equipment, at fair value	8	56,262		54,283
Intangible assets	4	8		209
Goodwill	13	1,603		1,526
Deferred income tax assets	7	211		176
Other long-term assets		823		842
Total Assets		$	65,901	$	64,111
Liabilities
Current liabilities
Accounts payable and accrued liabilities	18	$	1,020	$	1,086
Financial instrument liabilities	5	567		559
Due to related parties	20	686		588
Corporate borrowings	9	—		249
Non-recourse borrowings	9	1,457		2,027

Provisions		31		83
Liabilities directly associated with assets held for sale	4	195		351
		3,956		4,943
Financial instrument liabilities	5	1,434		1,670
Corporate borrowings	9	2,651		2,299
Non-recourse borrowings	9	20,307		20,275
Deferred income tax liabilities	7	6,876		6,507
Provisions		625		600
Other long-term liabilities		1,540		1,531

Equity
Non-controlling interests
Participating non-controlling interests – in operating subsidiaries	10	16,604		14,755
General partnership interest in a holding subsidiary held by Brookfield	10	59		59
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	10	2,908		2,892
BEPC exchangeable shares	10	2,686		2,561
Preferred equity	10	584		571
Perpetual subordinated notes	10	592		592
Preferred limited partners' equity	11	760		760
Limited partners' equity	12	4,319		4,096
Total Equity		28,512		26,286
Total Liabilities and Equity		$	65,901	$	64,111

The accompanying notes are an integral part of these interim consolidated financial statements.


Approved on behalf of Brookfield Renewable Partners L.P.:

Patricia Zuccotti Director			David Mann Director


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 2

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF INCOME (LOSS)


UNAUDITED (MILLIONS, EXCEPT PER UNIT INFORMATION)		Three months ended June 30				Six months ended June 30
	Notes	2023		2022		2023		2022
Revenues	20	$	1,205	$	1,274	$	2,536	$	2,410
Other income		61		14		87		85
Direct operating costs(1)		(425)		(366)		(826)		(716)
Management service costs	20	(55)		(65)		(112)		(141)
Interest expense	9	(402)		(294)		(796)		(560)
Share of earnings from equity-accounted investments	14	13		29		46		48
Foreign exchange and financial instruments gain (loss)	5	153		(12)		295		(49)
Depreciation	8	(458)		(389)		(887)		(790)
Other		78		(7)		28		(54)
Income tax (expense) recovery
Current	7	(37)		(31)		(80)		(73)
Deferred	7	18		(31)		37		(5)
		(19)		(62)		(43)		(78)
Net income		$	151	$	122	$	328	$	155
Net income attributable to:
Non-controlling interests
Participating non-controlling interests – in operating subsidiaries	10	$	167	$	96	$	352	$	182
General partnership interest in a holding subsidiary held by Brookfield	10	27		23		55		47
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	10	(20)		(7)		(38)		(38)
BEPC exchangeable shares	10	(18)		(6)		(34)		(33)
Preferred equity	10	6		6		13		13
Perpetual subordinated notes	10	7		7		14		14
Preferred limited partners' equity	11	10		12		20		23
Limited partners' equity	12	(28)		(9)		(54)		(53)
		$	151	$	122	$	328	$	155
Basic and diluted loss per LP unit		$	(0.10)	$	(0.03)	$	(0.20)	$	(0.19)

(1)Direct operating costs exclude depreciation expense disclosed below.

The accompanying notes are an integral part of these interim consolidated financial statements.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 3

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)


UNAUDITED (MILLIONS)		Three months ended June 30				Six months ended June 30
	Notes	2023		2022		2023		2022
Net income		$	151	$	122	$	328	$	155
Other comprehensive income (loss) that will not be reclassified to net income (loss)
Revaluations of property, plant and equipment		(2)		19		(44)		17
Actuarial gain (loss) on defined benefit plans		(5)		15		(6)		20
Deferred tax recovery (expense) on above item		10		(8)		10		(12)
Unrealized gain (loss) on investments in equity securities	5	2		(4)		2		(9)
Equity-accounted investments	14	(4)		4		6		4
Total items that will not be reclassified to net income		1		26		(32)		20
Other comprehensive income (loss) that may be reclassified to net income
Foreign currency translation		599		(890)		871		(106)
Gain (loss) arising during the period on financial instruments designated as cash-flow hedges	5	50		27		178		(6)
Gain on foreign exchange swaps net investment hedge	5	—		97		(19)		52

Reclassification adjustments for amounts recognized in net income (loss)	5	(23)		36		(72)		92
Deferred income taxes on above items		(3)		(30)		(14)		(46)
Equity-accounted investments	14	(17)		(26)		(24)		(4)
Total items that may be reclassified subsequently to net income (loss)		606		(786)		920		(18)
Other comprehensive income (loss)		607		(760)		888		2
Comprehensive income (loss)		$	758	$	(638)	$	1,216	$	157
Comprehensive income (loss) attributable to:
Non-controlling interests
Participating non-controlling interests – in operating subsidiaries	10	$	600	$	(381)	$	954	$	77
General partnership interest in a holding subsidiary held by Brookfield	10	28		22		57		48
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	10	29		(87)		44		(2)
BEPC exchangeable shares	10	26		(77)		39		(2)
Preferred equity	10	17		(11)		26		2
Perpetual subordinated notes	10	7		7		14		14
Preferred limited partners' equity	11	10		12		20		23
Limited partners' equity	12	41		(123)		62		(3)
		$	758	$	(638)	$	1,216	$	157

The accompanying notes are an integral part of these interim consolidated financial statements.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 4

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY


			Accumulated other comprehensive income														Non-controlling interests
UNAUDITED THREE MONTHS ENDED JUNE 30 (MILLIONS)	Limited partners' equity		Foreign currency translation		Revaluation surplus		Actuarial losses on defined benefit plans		Cash flow hedges		Investments in equity securities		Total limited partners' equity		Preferred limited partners' equity		Preferred equity		Perpetual subordinated notes		BEPC exchangeable shares		Participating non-controlling interests – in operating subsidiaries		General partnership interest in a holding subsidiary held by Brookfield		Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield		Total equity
Balance, as at March 31, 2023	$	(2,008)	$	(796)	$	6,801	$	5	$	30	$	1	$	4,033	$	760	$	573	$	592	$	2,522	$	15,526	$	58	$	2,848	$	26,912
Net income (loss)	(28)		—		—		—		—		—		(28)		10		6		7		(18)		167		27		(20)		151
Other comprehensive income (loss)	—		65		4		(1)		1		—		69		—		11		—		44		433		1		49		607
Equity issuance (Note 12, 20)	389		—		—		—		—		—		389				—		—		241		—		—		—		630

Capital contributions	—		—		—		—		—		—		—		—		—		—		—		587		—		—		587




Disposals (Note 3)	—		—		—		—		—		—		—		—		—		—		—		(26)		—		—		(26)
Distributions or dividends declared	(92)		—		—		—		—		—		(92)		(10)		(6)		(7)		(61)		(243)		(29)		(66)		(514)
Distribution reinvestment plan	2		—		—		—		—		—		2		—		—		—		—		—		—		—		2

Ownership changes	113		16		(107)		—		(1)		—		21				—		—		(21)		—		—		—		—
Other	(256)		(31)		211		1		—		—		(75)		—		—		—		(21)		160		2		97		163
Change in period	128		50		108		—		—		—		286		—		11		—		164		1,078		1		60		1,600
Balance, as at June 30, 2023	$	(1,880)	$	(746)	$	6,909	$	5	$	30	$	1	$	4,319	$	760	$	584	$	592	$	2,686	$	16,604	$	59	$	2,908	$	28,512

Balance, as at March 31, 2022	$	(1,641)	$	(690)	$	6,498	$	1	$	(34)	$	2	$	4,136	$	832	$	619	$	592	$	2,588	$	12,708	$	60	$	2,923	24,458
Net income (loss)	(9)		—		—		—		—		—		(9)		12		6		7		(6)		96		23		(7)		122
Other comprehensive income (loss)	—		(133)		2		2		16		(1)		(114)		—		(17)		—		(71)		(477)		(1)		(80)		(760)

Capital contributions	—		—		—		—		—		—		—		—		—		—		—		188		—		—		188
Redemption of Preferred LP Units	—		—		—		—		—		—		—		(187)		—		—		—		—		—		—		(187)
Preferred LP Units issued	—		—		—		—		—		—		—		115		—		—		—		—		—		—		115

Disposal	14		—		(14)		—		—		—		—		—		—		—		—		(21)		—		—		(21)
Distributions or dividends declared	(88)		—		—		—		—		—		(88)		(12)		(6)		(7)		(55)		(639)		(25)		(63)		(895)
Distribution reinvestment plan	3		—		—		—		—		—		3		—		—		—		—		—		—		—		3
Other	(7)		—		—		1		(1)		—		(7)		—		(1)		—		(2)		(10)		—		(2)		(22)
Change in period	(87)		(133)		(12)		3		15		(1)		(215)		(72)		(18)		—		(134)		(863)		(3)		(152)		(1,457)
Balance, as at June 30, 2022	$	(1,728)	$	(823)	$	6,486	$	4	$	(19)	$	1	$	3,921	$	760	$	601	$	592	$	2,454	$	11,845	$	57	$	2,771	$	23,001

The accompanying notes are an integral part of these interim consolidated financial statements.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 5

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY


			Accumulated other comprehensive income														Non-controlling interests
UNAUDITED SIX MONTHS ENDED JUNE 30 (MILLIONS)	Limited partners' equity		Foreign currency translation		Revaluation surplus		Actuarial losses on defined benefit plans		Cash flow hedges		Investments in equity securities		Total limited partners' equity		Preferred limited partners' equity		Preferred equity		Perpetual subordinated notes		BEPC exchangeable shares		Participating non-controlling interests – in operating subsidiaries		General partnership interest in a holding subsidiary held by Brookfield		Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield		Total equity
Balance, as at December 31, 2022	$	(1,898)	$	(845)	$	6,817	$	4	$	17	$	1	$	4,096	$	760	$	571	$	592	$	2,561	$	14,755	$	59	$	2,892	$	26,286
Net income (loss)	(54)		—		—		—		—		—		(54)		20		13		14		(34)		352		55		(38)		328
Other comprehensive income	—		103		—		—		13		—		116		—		13		—		73		602		2		82		888
Equity issuance (Note 12, 20)	389		—		—		—		—		—		389		—		—		—		241		—		—		—		630

Capital contributions	—		—		—		—		—		—		—		—		—		—		—		1,581		—		—		1,581




Disposals (Note 3)	14		—		(14)		—		—		—		—		—		—		—		—		(414)		—		—		(414)
Distributions or dividends declared	(189)		—		—		—		—		—		(189)		(20)		(13)		(14)		(119)		(401)		(57)		(133)		(946)
Distribution reinvestment plan	4		—		—		—		—		—		4		—		—		—		—		—		—		—		4
Ownership changes	113		16		(107)		—		(1)		—		21		—		—		—		(21)		—		—		—		—
Other	(259)		(20)		213		1		1		—		(64)		—		—		—		(15)		129		—		105		155
Change in period	18		99		92		1		13		—		223		—		13		—		125		1,849		—		16		2,226
Balance, as at June 30, 2023	$	(1,880)	$	(746)	$	6,909	$	5	$	30	$	1	$	4,319	$	760	$	584	$	592	$	2,686	$	16,604	$	59	$	2,908	$	28,512

Balance, as at December 31, 2021	$	(1,516)	$	(842)	$	6,494	$	—	$	(48)	$	4	$	4,092	$	881	$	613	$	592	$	2,562	$	12,303	$	59	$	2,894	23,996
Net income (loss)	(53)		—		—		—		—		—		(53)		23		13		14		(33)		182		47		(38)		155
Other comprehensive income (loss)	—		19		1		3		30		(3)		50		—		(11)		—		31		(105)		1		36		2

Issuance of Preferred LP Units	—		—		—		—		—		—		—		115		—		—		—		—		—		—		115
Redemption of Preferred LP Units	—		—		—		—		—		—		—		(236)		—		—		—		—		—		—		(236)
Capital contributions	—		—		—		—		—		—		—		—		—		—		—		294		—		—		294

Disposal	14		—		(14)		—		—		—		—		—		—		—		—		(21)		—		—		(21)
Distributions or dividends declared	(179)		—		—		—		—		—		(179)		(23)		(13)		(14)		(110)		(808)		(50)		(126)		(1,323)
Distribution reinvestment plan	6		—		—		—		—		—		6		—		—		—		—		—		—		—		6
Other	—		—		5		1		(1)		—		5		—		(1)		—		4		—		—		5		13
Change in period	(212)		19		(8)		4		29		(3)		(171)		(121)		(12)		—		(108)		(458)		(2)		(123)		(995)
Balance, as at June 30, 2022	$	(1,728)	$	(823)	$	6,486	$	4	$	(19)	$	1	$	3,921	$	760	$	601	$	592	$	2,454	$	11,845	$	57	$	2,771	$	23,001

The accompanying notes are an integral part of these interim consolidated financial statements.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 6

BROOKFIELD RENEWABLE PARTNERS L.P.

CONSOLIDATED STATEMENTS OF CASH FLOWS


UNAUDITED		Three months ended June 30				Six months ended June 30
(MILLIONS)	Notes	2023		2022		2023		2022
Operating activities
Net income		$	151	$	122	$	328	$	155
Adjustments for the following non-cash items:
Depreciation	8	458		389		887		790
Unrealized foreign exchange and financial instruments (gain) losses	5	(144)		56		(274)		106
Share of earnings from equity-accounted investments	14	(13)		(29)		(46)		(48)

Deferred income tax (recovery) expense	7	(18)		31		(37)		5
Other non-cash items		(15)		12		22		12
Dividends received from equity-accounted investments	14	2		18		21		37
		421		599		901		1,057
Changes in due to or from related parties		7		(21)		39		2
Net change in working capital balances		(46)		(140)		105		(318)
		382		438		1,045		741
Financing activities
Proceeds from medium term notes	9	—		—		293		—


Commercial paper, net	9	(180)		320		(249)		440
Proceeds from non-recourse borrowings	9,20	901		2,313		2,429		3,426
Repayment of non-recourse borrowings	9,20	(1,577)		(1,538)		(3,199)		(2,437)

Capital contributions from participating non-controlling interests – in operating subsidiaries	10	587		168		1,581		274


Issuance of equity instruments and related costs	10,12	630		115		630		115
Redemption and repurchase of equity instruments	11	—		(203)		—		(252)
Distributions paid:
To participating non-controlling interests – in operating subsidiaries, preferred shareholders, preferred limited partners unitholders, and perpetual subordinate notes	10,11	(307)		(666)		(449)		(857)
To unitholders of Brookfield Renewable or BRELP and shareholders of Brookfield Renewable Corporation	10,12	(246)		(228)		(489)		(458)
Borrowings from related party		102		136		102		1,076
Repayments to related party		(40)		(150)		(139)		(150)
		(130)		267		510		1,177
Investing activities
Acquisitions, net of cash and cash equivalents, in acquired entity	2	(6)		1		(87)		(779)
Investment in property, plant and equipment	8	(484)		(449)		(1,056)		(901)
Investment in equity-accounted investments		(31)		(54)		(124)		(74)
Proceeds from disposal of assets, net of cash and cash equivalents disposed	3	69		118		72		118
Purchases of financial assets	5	(93)		(166)		(545)		(166)
Proceeds from financial assets	5	376		4		379		63
Restricted cash and other		(31)		10		(15)		—
		(200)		(536)		(1,376)		(1,739)
Foreign exchange (gain) loss on cash		16		(19)		30		(20)
Cash and cash equivalents
Increase		68		150		209		159
Net change in cash classified within assets held for sale		(6)		(1)		(5)		—
Balance, beginning of period		1,140		910		998		900
Balance, end of period		$	1,202	$	1,059	$	1,202	$	1,059
Supplemental cash flow information:
Interest paid		$	356	$	262	$	651	$	499
Interest received		$	14	$	5	$	30	$	11
Income taxes paid		$	97	$	32	$	128	$	44

The accompanying notes are an integral part of these interim consolidated financial statements.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 7

BROOKFIELD RENEWABLE PARTNERS L.P.

NOTES TO THE UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

The business activities of Brookfield Renewable Partners L.P. (“Brookfield Renewable”) consist of owning a portfolio of renewable power and sustainable solution assets primarily in North America, South America, Europe and Asia.

Unless the context indicates or requires otherwise, the term “Brookfield Renewable” means Brookfield Renewable Partners L.P. and its controlled entities, including Brookfield Renewable Corporation (“BEPC”). Unless the context indicates or requires otherwise, the term “the partnership” means Brookfield Renewable Partners L.P. and its controlled entities, excluding BEPC.

Brookfield Renewable’s consolidated equity interests include the non-voting publicly traded limited partnership units (“LP units”) held by public unitholders and Brookfield, class A exchangeable subordinate voting shares (“BEPC exchangeable shares”) of BEPC held by public shareholders and Brookfield, redeemable/exchangeable partnership units (“Redeemable/Exchangeable partnership units”) in Brookfield Renewable Energy L.P. (“BRELP”), a holding subsidiary of Brookfield Renewable, held by Brookfield, and general partnership interest (“GP interest”) in BRELP held by Brookfield. Holders of the LP units, Redeemable/Exchangeable partnership units, GP interest, and BEPC exchangeable shares will be collectively referred to throughout as “Unitholders” unless the context indicates or requires otherwise. LP units, Redeemable/Exchangeable partnership units, GP interest, and BEPC exchangeable shares will be collectively referred to throughout as "Units", or as "per Unit", unless the context indicates or requires otherwise.

Brookfield Renewable is a publicly traded limited partnership established under the laws of Bermuda pursuant to an amended and restated limited partnership agreement dated November 20, 2011 as thereafter amended from time to time.

The registered office of Brookfield Renewable is 73 Front Street, Fifth Floor, Hamilton HM12, Bermuda.

The immediate parent of Brookfield Renewable is its general partner, Brookfield Renewable Partners Limited (“BRPL”). The ultimate parent of Brookfield Renewable is Brookfield Corporation (“Brookfield Corporation”). Brookfield Corporation and its subsidiaries, other than Brookfield Renewable, and unless the context otherwise requires, includes Brookfield Asset Management Ltd (“Brookfield Asset Management”), are also individually and collectively referred to as “Brookfield” in these financial statements.

The BEPC exchangeable shares are traded under the symbol “BEPC” on the New York Stock Exchange and the Toronto Stock Exchange.

The LP units are traded under the symbol “BEP” on the New York Stock Exchange and under the symbol “BEP.UN” on the Toronto Stock Exchange. Brookfield Renewable's Class A Series 7, Series 13, Series 15, and Series 18 preferred limited partners’ equity are traded under the symbols “BEP.PR.E”, “BEP.PR.G”, “BEP.PR.I”, “BEP.PR.K”, “BEP.PR.M”, “BEP.PR.O”, and “BEP.PR.R”, respectively, on the Toronto Stock Exchange. Brookfield Renewable's Class A Series 17 preferred limited partners’ equity is traded under the symbol “BEP.PR.A” on the New York Stock Exchange. The perpetual subordinated notes are traded under the symbol “BEPH” and “BEPI” on the New York Stock Exchange.


Notes to the consolidated financial statements		Page

1.	Basis of preparation and significant accounting policies	9
2.	Acquisitions	10
3.	Disposal of assets	10
4.	Assets held for sale	11
5.	Risk management and financial instruments	11
6.	Segmented information	14
7.	Income taxes	21
8.	Property, plant and equipment	22
9.	Borrowings	23

10.	Non-controlling interests	25
11.	Preferred limited partners' equity	29
12.	Limited partners' equity	29
13.	Goodwill	30
14.	Equity-accounted investments	31
15.	Cash and cash equivalents	31
16.	Restricted cash	31
17.	Trade receivables and other current assets	32
18.	Accounts payable and accrued liabilities	32
19.	Commitments, contingencies and guarantees	32
20.	Related party transactions	34
21.	Subsidiary public issuers	37
22.	Subsequent events	38


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 8

1. BASIS OF PREPARATION AND SIGNIFICANT ACCOUNTING POLICIES

(a) Statement of compliance

The interim consolidated financial statements have been prepared in accordance with IAS 34, Interim Financial Reporting.

Certain information and footnote disclosures normally included in the annual audited consolidated financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board (“IASB”), have been omitted or condensed. These interim consolidated financial statements should be read in conjunction with Brookfield Renewable’s December 31, 2022 audited consolidated financial statements. The interim consolidated statements have been prepared on a basis consistent with the accounting policies disclosed in the December 31, 2022 audited consolidated financial statements.

The interim consolidated financial statements are unaudited and reflect adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary to provide a fair statement of results for the interim periods in accordance with IFRS.

The results reported in these interim consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for an entire year. The policies set out below are consistently applied to all periods presented, unless otherwise noted.

These consolidated financial statements have been authorized for issuance by the Board of Directors of Brookfield Renewable’s general partner, BRPL, on August 4, 2023.

Certain comparative figures have been reclassified to conform to the current year’s presentation.

References to $, C$, €, £, R$, COP, INR, and CNY are to United States (“U.S.”) dollars, Canadian dollars, Euros, British pound, Brazilian reais, Colombian pesos, Indian rupees, and Chinese yuan, respectively.

All figures are presented in millions of U.S. dollars unless otherwise noted.

(b) Basis of preparation

The interim consolidated financial statements have been prepared on the basis of historical cost, except for the revaluation of property, plant and equipment and certain assets and liabilities which have been measured at fair value. Cost is recorded based on the fair value of the consideration given in exchange for assets.

These consolidated financial statements include the accounts of Brookfield Renewable and its subsidiaries, which are the entities over which Brookfield Renewable has control. An investor controls an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Non-controlling interests in the equity of Brookfield Renewable’s subsidiaries are shown separately in equity in the combined statements of financial position.

(d) Recently adopted accounting standards

IFRS Interpretations Committee Agenda Decision - Demand Deposits with Restriction on Use Arising from a Contract with a Third Party (IAS 7 Statement of Cash Flows)

In April 2022, the IFRS Interpretations Committee (“IFRS IC”) concluded that restrictions on the use of a demand deposit arising from a contract with a third party do not result in the deposit no longer being cash, unless those restrictions change the nature of the deposit in a way that it would no longer meet the definition of cash in IAS 7 Statement of Cash Flows. In the fact pattern described in the request, the contractual restrictions on the use of the amounts held in the demand deposit did not change the nature of the deposit — the entity can access those amounts on demand. Therefore, the entity should include the demand deposit as a component of “cash and cash equivalents” in its statement of financial position and in its statement of cash flows. Brookfield Renewable has completed the assessment and implemented its transition plan that addresses the impact of this IFRS IC agenda decision. The effect on the consolidated statements of cash flows is an increase to Cash and cash equivalents of $176 million and $236 million, and a decrease of $60 million and $100 million to cash used in investing activities, respectively, for the three months and six months ended June 30, 2022


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 9

Deferred Tax related to Assets and Liabilities arising from a Single transaction - Amendments to IAS 12- Pillar Two model rules

In May 2023, the IASB issued amendments to IAS 12 “Income Taxes” to give entities temporary mandatory relief from accounting for deferred taxes arising from the Organization for Economic Co-operation and Developments (“OECD”) international tax reform. The amendments are effective immediately upon their issue and retrospectively in accordance with IAS 8 “Accounting Policies, Changes in Accounting Estimates and Errors,” except for some targeted disclosure requirements which become effective for annual reporting periods on or after January 1,2023. Brookfield Renewable has applied the temporary exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes.

(e) Future changes in accounting policies

Amendments to IAS 1 – Presentation of Financial Statements (“IAS 1”)

The amendments clarify how to classify debt and other liabilities as current or non-current. The amendments to IAS 1 apply to annual reporting periods beginning on or after January 1, 2024. Brookfield Renewable is currently assessing the impact of these amendments.

There are currently no other future changes to IFRS with potential impact on Brookfield Renewable.

2. ACQUISITIONS

Brazil Wind Portfolio

On March 3, 2023, Brookfield Renewable, together with its institutional partners, completed the acquisition of 100% interest in a 136 MW portfolio of operating wind assets in Brazil. The purchase price of this acquisition, including working capital and closing adjustments was $95 million. Brookfield Renewable holds an approximately 25% economic interest.

The preliminary purchase price allocations, at fair value, as at June 30, 2023, with respect to the acquisitions are as follows:


(MILLIONS)	Brazil Wind Portfolio
Cash and cash equivalents	$	10

Trade receivables and other current assets	9

Property, plant and equipment, at fair value	125


Other non-current assets	19
Accounts payable and accrued liabilities	(16)
Current portion of non-recourse borrowings	(4)


Non-recourse borrowings	(46)

Provisions	(2)

Fair value of net assets acquired	95


Purchase price	$	95

On May 4, 2023, Brookfield Renewable, together with its institutional partners, completed the acquisition of a 90% interest in a distributed generation platform with approximately 730 MW of development pipeline in Brazil. The purchase price of this acquisition was $4 million with fair value of assets acquired of $5 million and liabilities assumed of $1 million. Brookfield Renewable holds an approximately 20% economic interest.

3. DISPOSAL OF ASSETS

On March 17, 2023, Brookfield Renewable’s institutional partners completed the sale of a 78% interest in a 378 MW operating hydroelectric portfolio in the U.S., of which 28% was sold to affiliates of Brookfield Corporation. Brookfield Renewable retained its 22% interest in the investment and accordingly, did not receive any proceeds from the sale. Subsequent to the completion of the sale, Brookfield Renewable no longer consolidates this investment and recognized its interest as an equity-accounted investment. As a result of the disposition, Brookfield Renewable derecognized $667 million of total assets and $191 million of total liabilities from the consolidated statements of financial positions. Brookfield Renewable’s post-tax portion of the accumulated revaluation surplus of $34 million was reclassified from accumulated other comprehensive income directly to equity and presented as a Disposals item in the consolidated statements of changes in equity.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 10

On May 17, 2023, Brookfield Renewable, together with its institutional partners, completed the sale of wind assets in the U.S that were acquired in 2022. There was no gain or loss on disposition recognized in the consolidated statements of income (loss) as a result of the disposition. Brookfield Renewable derecognized $254 million of total assets, $164 million of total liabilities, and non-controlling interest of $26 million from the consolidated statements of financial position.

4. ASSETS HELD FOR SALE

As at June 30, 2023, assets held for sale includes a 95 MW portfolio of wind assets and a 26 MW solar asset located in Uruguay.

The following is a summary of the major items of assets and liabilities classified as held for sale:


(MILLIONS)	June 30, 2023		December 31, 2022
Assets
Cash and cash equivalents	$	5	$	9
Restricted cash	2		5
Trade receivables and other current assets	8		4
Financial instrument assets	2		3
Property, plant and equipment, at fair value	30		911
Intangible assets	198		—
Goodwill	18		—
Other long-term assets	—		6
Assets held for sale	$	263	$	938
Liabilities
Current liabilities	$	4	$	9
Non-recourse borrowings	168		171
Financial instrument liabilities	—		167
Other long-term liabilities	6		1
Deferred tax liability	17		$	—
Provisions	—		$	3
Liabilities directly associated with assets held for sale	$	195	$	351

5. RISK MANAGEMENT AND FINANCIAL INSTRUMENTS

RISK MANAGEMENT

Brookfield Renewable`s activities expose it to a variety of financial risks, including market risk (i.e., commodity price risk, interest rate risk, and foreign currency risk), credit risk and liquidity risk. Brookfield Renewable uses financial instruments primarily to manage these risks.

There have been no other material changes in exposure to the risks Brookfield Renewable is exposed to since the December 31, 2022 audited consolidated financial statements.

Fair value disclosures

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Fair values determined using valuation models require the use of assumptions concerning the amount and timing of estimated future cash flows and discount rates. In determining those assumptions, management looks primarily to external readily observable market inputs such as interest rate yield curves, currency rates, commodity prices and, as applicable, credit spreads.

A fair value measurement of a non-financial asset is the consideration that would be received in an orderly transaction between market participants, considering the highest and best use of the asset.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 11

Assets and liabilities measured at fair value are categorized into one of three hierarchy levels, described below. Each level is based on the transparency of the inputs used to measure the fair values of assets and liabilities.

Level 1 – inputs are based on unadjusted quoted prices in active markets for identical assets and liabilities;

Level 2 – inputs, other than quoted prices in Level 1, that are observable for the asset or liability, either directly or indirectly; and

Level 3 – inputs for the asset or liability that are not based on observable market data.

The following table presents Brookfield Renewable's assets and liabilities including energy derivative contracts, power purchase agreements accounted for under IFRS 9 (“IFRS 9 PPAs”), interest rate swaps, foreign exchange swaps and tax equity measured and disclosed at fair value classified by the fair value hierarchy:


	June 30, 2023								December 31, 2022
(MILLIONS)	Level 1		Level 2		Level 3		Total		Total
Assets measured at fair value:
Cash and cash equivalents	$	1,202	$	—	$	—	$	1,202	$	998
Restricted cash(1)	196		—		—		196		191
Financial instrument assets(1)
IFRS 9 PPAs	—		—		10		10		2
Energy derivative contracts	—		56		—		56		37
Interest rate swaps	—		313		—		313		335
Foreign exchange swaps	—		39		—		39		16
Investments in debt and equity securities (2)	—		43		1,414		1,457		1,235
Property, plant and equipment	—		—		56,262		56,262		54,283
Liabilities measured at fair value:
Financial instrument liabilities(1)
IFRS 9 PPAs	—		—		(540)		(540)		(670)
Energy derivative contracts	—		(120)		—		(120)		(236)
Interest rate swaps	—		(86)		—		(86)		(82)
Foreign exchange swaps	—		(168)		—		(168)		(110)
Tax equity	—		—		(1,087)		(1,087)		(1,131)
Contingent consideration(1)(3)	—		—		(76)		(76)		(68)


Liabilities for which fair value is disclosed:
Corporate borrowings(1)	(2,471)		—		—		(2,471)		(2,362)
Non-recourse borrowing(1)	(2,109)		(19,166)		—		(21,275)		(21,117)
Total	$	(3,182)	$	(19,089)	$	55,983	$	33,712	$	31,321

(1)Includes both the current amount and long-term amounts.

(2)Excludes $30 million (2022: nil) of investments in debt securities that are measured at amortized cost.

(3)Amount relates to business combinations completed in 2022 with obligations lapsing from 2023 to 2027.

There were no transfers between levels during the six months ended June 30, 2023.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 12

Financial instruments disclosures

The aggregate amount of Brookfield Renewable's net financial instrument positions are as follows:


	June 30, 2023						December 31, 2022
(MILLIONS)	Assets		Liabilities		Net Assets (Liabilities)		Net Assets (Liabilities)
IFRS 9 PPAs	10		540		(530)		(668)
Energy derivative contracts	$	56	$	120	$	(64)	$	(199)
Interest rate swaps	313		86		227		253
Foreign exchange swaps	39		168		(129)		(94)
Investments in debt and equity securities	1,487		—		1,487		1,235
Tax equity	—		1,087		(1,087)		(1,131)
Total	1,905		2,001		(96)		(604)
Less: current portion	173		567		(394)		(434)
Long-term portion	$	1,732	$	1,434	$	298	$	(170)

(a) Energy derivative contracts and IFRS 9 PPAs

Brookfield Renewable has entered into long-term energy derivative contracts primarily to stabilize or eliminate the price risk on the sale of certain future power generation. Certain energy contracts are recorded in Brookfield Renewable's interim consolidated financial statements at an amount equal to fair value, using quoted market prices or, in their absence, a valuation model using both internal and third-party evidence and forecasts.

(b) Interest rate hedges

Brookfield Renewable has entered into interest rate hedge contracts primarily to minimize exposure to interest rate fluctuations on its variable rate debt or to lock in interest rates on future debt refinancing. All interest rate hedge contracts are recorded in the interim consolidated financial statements at fair value.

Brookfield Renewable has entered into foreign exchange swaps to minimize its exposure to currency fluctuations impacting its investments and earnings in foreign operations, and to fix the exchange rate on certain anticipated transactions denominated in foreign currencies.

(d) Tax equity

Brookfield Renewable owns and operates certain projects in the United States under tax equity structures to finance the construction of utility-scale solar, and wind projects. In accordance with the substance of the contractual agreements, the amounts paid by the tax equity investors for their equity stakes are classified as financial instrument liabilities on the consolidated statements of financial position.

Gains or loss on the tax equity liabilities are recognized within the foreign exchange and financial instruments gain (loss) in the consolidated statements of income (loss).

(e) Investments in debt and equity securities

Brookfield Renewable's investments in debt and equity securities consist of investments in securities which are recorded on the statement of financial position at fair value.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 13

The following table reflects the gains (losses) included in Foreign exchange and financial instrument gain (loss) in the interim consolidated statements of income (loss) for the three and six months ended June 30:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Energy derivative contracts	$	10	$	(23)	$	76	$	(61)
IFRS 9 PPAs	14		(25)		71		(103)
Investment in debt and equity securities	46		(6)		46		(6)
Interest rate swaps	15		15		9		65
Foreign exchange swaps	(1)		28		(6)		36
Tax equity	44		32		61		62
Foreign exchange (loss) gain	25		(33)		38		(42)
	$	153	$	(12)	$	295	$	(49)

For the three and six months ended June 30, 2023, the gains associated with debt and equity securities of $8 million (2022: $2 million ) was recorded in Other income on the interim consolidated statements of income (loss).

The following table reflects the gains (losses) included in other comprehensive income in the interim consolidated statements of comprehensive income (loss) for the three and six months ended June 30:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Energy derivative contracts	$	18	$	(61)	$	184	$	(173)
IFRS 9 PPAs	25		(16)		37		(53)
Interest rate swaps	29		95		(17)		222
Foreign exchange swaps	(22)		9		(26)		(2)
	50		27		178		(6)
Foreign exchange swaps – net investment	—		97		(19)		52
Investments in debt and equity securities	2		(4)		2		(9)
	$	52	$	120	$	161	$	37

The following table reflects the reclassification adjustments recognized in net income (loss) in the interim consolidated statements of comprehensive income (loss) for the three and six months ended June 30:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Energy derivative contracts	$	(34)	$	35	$	(82)	$	86
IFRS 9 PPAs	—		—		—		2
Interest rate swaps	2		1		1		4




	$	(23)	$	36	$	(72)	$	92

6. SEGMENTED INFORMATION

Brookfield Renewable’s Chief Executive Officer and Chief Financial Officer (collectively, the chief operating decision maker or “CODM”) review the results of the business, manage operations, and allocate resources based on the type of technology.

Brookfield Renewable’s operations are segmented by – 1) hydroelectric, 2) wind, 3) utility-scale solar, 4) distributed energy & sustainable solutions (distributed generation, pumped storage, renewable natural gas, carbon capture and storage, recycling, cogeneration and biomass), and 5) corporate – with hydroelectric and wind further segmented by geography (i.e. North America, Colombia, Brazil, Europe and Asia). This best reflects the way in which the CODM reviews results of our company.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 14

Reporting to the CODM on the measures utilized to assess performance and allocate resources is provided on a proportionate basis. Information on a proportionate basis reflects Brookfield Renewable’s share from facilities which it accounts for using consolidation and the equity method whereby Brookfield Renewable either controls or exercises significant influence or joint control over the investment, respectively. Proportionate information provides a Unitholder (holders of the GP interest, Redeemable/Exchangeable partnership units, BEPC exchangeable shares and LP units) perspective that the CODM considers important when performing internal analyses and making strategic and operating decisions. The CODM also believes that providing proportionate information helps investors understand the impacts of decisions made by management and financial results allocable to Brookfield Renewable’s Unitholders.

Proportionate financial information is not, and is not intended to be, presented in accordance with IFRS. Tables reconciling IFRS data with data presented on a proportionate consolidation basis have been disclosed. Segment revenues, other income, direct operating costs, interest expense, depreciation, current and deferred income taxes, and other are items that will differ from results presented in accordance with IFRS as these items include Brookfield Renewable’s proportionate share of earnings from equity-accounted investments attributable to each of the above-noted items, and exclude the proportionate share of earnings (loss) of consolidated investments not held by us apportioned to each of the above-noted items.

Brookfield Renewable does not consolidate entities it does not control or exercises significant influence, as such, these entities have been presented as equity-accounted investments in its consolidated financial statements. The presentation of the assets and liabilities and revenues and expenses does not represent Brookfield Renewable’s legal claim to such items, and the removal of financial statement amounts that are attributable to non-controlling interests does not extinguish Brookfield Renewable’s legal claims or exposures to such items.

Brookfield Renewable reports its results in accordance with these segments and presents prior period segmented information in a consistent manner.

The accounting policies of the reportable segments are the same as those described in Note 1 – Basis of preparation and significant accounting policies. Brookfield Renewable analyzes the performance of its operating segments based on Funds From Operations. Funds From Operations is not a generally accepted accounting measure under IFRS and therefore may differ from definitions of Funds From Operations used by other entities, as well as the definition of funds from operations used by the Real Property Association of Canada (“REALPAC”) and the National Association of Real Estate Investment Trusts, Inc. (“NAREIT”).

Brookfield Renewable uses Funds From Operations to assess the performance of Brookfield Renewable before the effects of certain cash items (e.g., acquisition costs and other typical non-recurring cash items) and certain non-cash items (e.g., deferred income taxes, depreciation, non-cash portion of non-controlling interests, unrealized gain or loss on financial instruments, non-cash gain or loss from equity-accounted investments, and other non-cash items) as these are not reflective of the performance of the underlying business. Brookfield Renewable includes realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term within Funds From Operations in order to provide additional insight regarding the performance of investments on a cumulative realized basis, including any unrealized fair value adjustments that were recorded in equity and not otherwise reflected in current period net income.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 15

The following table provides each segment's results in the format that management organizes its segments to make operating decisions and assess performance and reconciles Brookfield Renewable's proportionate results to the consolidated statements of income (loss) on a line by line basis by aggregating the components comprising the earnings from Brookfield Renewable's investments in associates and reflecting the portion of each line item attributable to non-controlling interests for the three months ended June 30, 2023:


	Attributable to Unitholders																						Contribution from equity-accounted investments		Attributable to non- controlling interests		As per IFRS financials(1)
	Hydroelectric						Wind								Utility-scale solar		Distributed energy & sustainable solutions		Corporate		Total
(MILLIONS)	North America		Brazil		Colombia		North America		Europe		Brazil		Asia
Revenues	$	274	$	58	$	66	$	73	$	35	$	9	$	13	$	110	$	81	$	—	$	719	$	(50)	$	536	$	1,205
Other income	4		2		4		35		5		1		1		15		9		22		98		(2)		(35)		61
Direct operating costs	(97)		(18)		(23)		(24)		(8)		(3)		(4)		(18)		(27)		(9)		(231)		26		(220)		(425)
Share of revenue, other income and direct operating costs from equity-accounted investments	—		—		—		—		—		—		—		—		—		—		—		26		—		26
	181		42		47		84		32		7		10		107		63		13		586		—		281
Management service costs	—		—		—		—		—		—		—		—		—		(55)		(55)		—		—		(55)
Interest expense	(64)		(4)		(21)		(15)		(4)		(2)		(3)		(28)		(9)		(32)		(182)		6		(226)		(402)
Current income taxes	(3)		(2)		(5)		(1)		(1)		—		—		(2)		—		—		(14)		2		(25)		(37)
Distributions attributable to
Preferred limited partners equity	—		—		—		—		—		—		—		—		—		(10)		(10)		—		—		(10)
Preferred equity	—		—		—		—		—		—		—		—		—		(6)		(6)		—		—		(6)
Perpetual subordinated notes	—		—		—		—		—		—		—		—		—		(7)		(7)		—		—		(7)
Share of interest and cash taxes from equity accounted investments	—		—		—		—		—		—		—		—		—		—		—		(8)		—		(8)
Share of Funds From Operations attributable to non-controlling interests	—		—		—		—		—		—		—		—		—		—		—		—		(30)		(30)
Funds From Operations	114		36		21		68		27		5		7		77		54		(97)		312		—		—
Depreciation																					(248)		11		(221)		(458)
Foreign exchange and financial instrument gain (loss)																					31		(3)		125		153
Deferred income tax expense																					31		1		(14)		18
Other																					(165)		(4)		247		78
Share of earnings from equity-accounted investments																					—		(5)		—		(5)
Net income attributable to non-controlling interests																					—		—		(137)		(137)
Net income (loss) attributable to Unitholders(2)																					$	(39)	$	—	$	—	$	(39)

(1)Share of earnings from equity-accounted investments of $13 million is comprised of amounts found on the share of revenue, other income and direct operating costs, share of interest and cash taxes and share of earnings lines. Net income attributable to participating non-controlling interests – in operating subsidiaries of $167 million is comprised of amounts found on share of Funds From Operations attributable to non-controlling interests and Net loss attributable to non-controlling interests.

(2)Net income (loss) attributable to Unitholders includes net income (loss) attributable to GP interest, Redeemable/Exchangeable partnership units, BEPC exchangeable shares and LP units. Total net income (loss) includes amounts attributable to Unitholders, non-controlling interests, preferred limited partners equity, preferred equity and perpetual subordinated notes.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 16

The following table provides each segment's results in the format that management organizes its segments to make operating decisions and assess performance and reconciles Brookfield Renewable's proportionate results to the consolidated statements of income on a line by line basis by aggregating the components comprising the earnings from Brookfield Renewable's investments in associates and reflecting the portion of each line item attributable to non-controlling interests for the three months ended June 30, 2022:


	Attributable to Unitholders																						Contribution from equity-accounted investments		Attributable to non- controlling interests		As per IFRS financials(1)
	Hydroelectric						Wind								Utility-scale solar		Distributed energy & sustainable solutions		Corporate		Total
(MILLIONS)	North America		Brazil		Colombia		North America		Europe		Brazil		Asia
Revenues	$	297	$	45	$	67	$	85	$	32	$	7	$	10	$	112	$	68	$	—	$	723	$	(47)	$	598	$	1,274
Other income	—		2		—		—		7		—		1		19		3		19		51		(1)		(36)		14
Direct operating costs	(93)		(13)		(22)		(31)		(6)		(1)		(2)		(27)		(24)		(8)		(227)		18		(157)		(366)
Share of revenue, other income and direct operating costs from equity-accounted investments	—		—		—		—		—		—		—		—		—		—		—		30		2		32
	204		34		45		54		33		6		9		104		47		11		547		—		407
Management service costs	—		—		—		—		—		—		—		—		—		(65)		(65)		—		—		(65)
Interest expense	(46)		(7)		(14)		(16)		(5)		(2)		(3)		(28)		(12)		(20)		(153)		4		(145)		(294)
Current income taxes	(3)		(3)		(5)		—		—		—		—		(2)		3		—		(10)		4		(25)		(31)
Distributions attributable to
Preferred limited partners equity	—		—		—		—		—		—		—		—		—		(12)		(12)		—		—		(12)
Preferred equity	—		—		—		—		—		—		—		—		—		(6)		(6)		—		—		(6)
Perpetual subordinated notes																			(7)		(7)		—		—		(7)
Share of interest and cash taxes from equity accounted investments	—		—		—		—		—		—		—		—		—		—		—		(8)		(2)		(10)
Share of Funds From Operations attributable to non-controlling interests	—		—		—		—		—		—		—		—		—		—		—		—		(235)		(235)
Funds From Operations	155		24		26		38		28		4		6		74		38		(99)		294		—		—
Depreciation																					(233)		10		(166)		(389)
Foreign exchange and financial instrument gain (loss)																					(12)		—		—		(12)
Deferred income tax expense																					(4)		(2)		(25)		(31)
Other																					(44)		(15)		52		(7)
Share of loss from equity-accounted investments																					—		7		—		7
Net income attributable to non-controlling interests																					—		—		139		139
Net income attributable to Unitholders(2)																					$	1	$	—	$	—	$	1

(1)Share of loss from equity-accounted investments of $29 million is comprised of amounts found on the share of revenue, other income and direct operating costs, share of interest and cash taxes and share of earnings lines. Net loss attributable to participating non-controlling interests – in operating subsidiaries of $96 million is comprised of amounts found on Share of Funds From Operations attributable to non-controlling interests and Net loss attributable to non-controlling interests.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 17

The following table provides each segment's results in the format that management organizes its segments to make operating decisions and assess performance and reconciles Brookfield Renewable's proportionate results to the consolidated statements of income on a line by line basis by aggregating the components comprising the earnings from Brookfield Renewable's investments in associates and reflecting the portion of each line item attributable to non-controlling interests for the six months ended June 30, 2023:


	Attributable to Unitholders											Contribution from equity-accounted investments	Attributable to non- controlling interests	As per IFRS financials(1)
	Hydroelectric			Wind				Utility-scale solar	Distributed generation, storage & other	Corporate	Total
(MILLIONS)	North America	Brazil	Colombia	North America	Europe	Brazil	Asia
Revenues	609	119	132	158	75	17	23	198	160	—	1,491	(129)	1,174	2,536
Other income	8	3	5	36	5	1	1	23	14	34	130	(7)	(36)	87
Direct operating costs	(206)	(35)	(42)	(49)	(16)	(5)	(5)	(45)	(55)	(18)	(476)	60	(410)	(826)
Share of revenue, other income and direct operating costs from equity-accounted investments	—	—	—	—	—	—	—	—	—	—	—	76	—	76
	411	87	95	145	64	13	19	176	119	16	1,145	—	728
Management service costs	—	—	—	—	—	—	—	—	—	(112)	(112)	—	—	(112)
Interest expense	(135)	(9)	(39)	(33)	(8)	(3)	(6)	(55)	(21)	(60)	(369)	16	(443)	(796)
Current income taxes	(4)	(4)	(12)	(1)	(3)	—	(1)	(4)	(1)	—	(30)	5	(55)	(80)
Distributions attributable to
Preferred limited partners equity	—	—	—	—	—	—	—	—	—	(20)	(20)	—	—	(20)
Preferred equity	—	—	—	—	—	—	—	—	—	(13)	(13)	—	—	(13)
Perpetual subordinated notes	—	—	—	—	—	—	—	—	—	(14)	(14)	—	—	(14)
Share of interest and cash taxes from equity accounted investments	—	—	—	—	—	—	—	—	—	—	—	(21)	—	(21)
Share of Funds From Operations attributable to non-controlling interests	—	—	—	—	—	—	—	—	—	—	—	—	(230)	(230)
Funds From Operations	272	74	44	111	53	10	12	117	97	(203)	587	—	—
Depreciation											(489)	24	(422)	(887)
Foreign exchange and financial instrument gain (loss)											69	15	211	295
Deferred income tax expense											34	4	(1)	37
Other											(272)	(34)	334	28
Share of loss from equity-accounted investments											—	(9)	—	(9)
Net loss attributable to non-controlling interests											—	—	(122)	(122)
Net loss attributable to Unitholders(2)											(71)	—	—	(71)

(1)Share of earnings from equity-accounted investments of $46 million is comprised of amounts found on the share of Adjusted EBITDA, share of interest and cash taxes and share of earnings lines. Net income attributable to participating non-controlling interests – in operating subsidiaries of $352 million is comprised of amounts found on Share of Funds From Operations attributable to non-controlling interests and Net Income attributable to non-controlling interests.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 18

The following table provides each segment's results in the format that management organizes its segments to make operating decisions and assess performance and reconciles Brookfield Renewable's proportionate results to the consolidated statements of income on a line by line basis by aggregating the components comprising the earnings from Brookfield Renewable's investments in associates and reflecting the portion of each line item attributable to non-controlling interests for the six months ended June 30, 2022:


	Attributable to Unitholders											Contribution from equity accounted investments	Attributable to non- controlling interests	As per IFRS financials(1)
	Hydroelectric			Wind				Utility-scale solar	Distributed energy & sustainable solutions	Corporate	Total
(MILLIONS)	North America	Brazil	Colombia	North America	Europe	Brazil	Asia
Revenues	533	93	140	171	83	13	19	193	127	—	1,372	(96)	1,134	2,410
Other income	2	20	—	—	11	—	1	55	16	24	129	(13)	(31)	85
Direct operating costs	(190)	(26)	(42)	(57)	(15)	(3)	(4)	(54)	(48)	(16)	(455)	39	(300)	(716)
Share of revenue, other income and direct operating costs from equity-accounted investments											—	70	4	74
	345	87	98	114	79	10	16	194	95	8	1,046	—	807	—
Management service costs	—	—	—	—	—	—	—	—	—	(141)	(141)	—	—	(141)
Interest expense	(91)	(12)	(24)	(32)	(9)	(3)	(6)	(54)	(22)	(40)	(293)	10	(277)	(560)
Current income taxes	(5)	(6)	(13)	—	(1)	—	—	(2)	2	—	(25)	7	(55)	(73)
Distributions attributable to
Preferred limited partners equity	—	—	—	—	—	—	—	—	—	(23)	(23)	—	—	(23)
Preferred equity	—	—	—	—	—	—	—	—	—	(13)	(13)	—	—	(13)
Perpetual subordinated notes										(14)	(14)	—	—	(14)
Share of interest and cash taxes from equity-accounted investments	—	—	—	—	—	—	—	—	—	—	—	(17)	(4)	(21)
Share of Funds From Operations attributable to non-controlling interests	—	—	—	—	—	—	—	—	—	—	—	—	(471)	(471)
Funds From Operations	249	69	61	82	69	7	10	138	75	(223)	537	—	—
Depreciation											(479)	19	(330)	(790)
Foreign exchange and financial instrument gain (loss)											(36)	1	(14)	(49)
Deferred income tax expense											26	(2)	(29)	(5)
Other											(125)	(13)	84	(54)
Share of loss from equity-accounted investments											—	(5)	—	(5)
Net income attributable to non-controlling interests											—	—	289	289
Net loss attributable to Unitholders(2)											(77)	—	—	(77)

(1)Share of earnings from equity-accounted investments of $48 million is comprised of amounts found on the share of Adjusted EBITDA, share of interest and cash taxes and share of earnings lines. Net income attributable to participating non-controlling interests– in operating subsidiaries of $182 million is comprised of amounts found on Share of Funds From Operations attributable to non-controlling interests and Net Income attributable to non-controlling interests.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 19

The following table provides information on each segment's statement of financial position in the format that management organizes its segments to make operating decisions and assess performance and reconciles Brookfield Renewable's proportionate results to the consolidated statements of financial position by aggregating the components comprising from Brookfield Renewable's investments in associates and reflecting the portion of each line item attributable to non-controlling interests:


	Attributable to Unitholders																						Contribution from equity-accounted investments		Attributable to non- controlling interests		As per IFRS financials
	Hydroelectric						Wind								Utility-scale solar		Distributed energy & sustainable solutions		Corporate		Total
(MILLIONS)	North America		Brazil		Colombia		North America		Europe		Brazil		Asia
As at June 30, 2023
Cash and cash equivalents	$	122	$	30	$	22	$	61	$	48	$	34	$	16	$	93	$	74	$	18	$	518	$	(56)	$	740	$	1,202
Property, plant and equipment	15,452		1,843		2,121		3,598		670		425		299		3,006		2,387		3		29,804		(1,287)		27,745		56,262
Total assets	16,698		2,012		2,362		3,964		841		484		397		3,612		3,063		289		33,722		(793)		32,972		65,901
Total borrowings	4,150		267		608		1,259		359		121		219		2,357		928		2,661		12,929		(557)		12,043		24,415
Other liabilities	5,009		118		748		1,111		210		31		43		622		688		307		8,887		(236)		4,323		12,974


As at December 31, 2022
Cash and cash equivalents	$	55	$	15	$	14	$	48	$	56	$	22	$	24	$	139	$	72	$	—	$	445	$	(43)	$	596	$	998
Property, plant and equipment	15,331		1,743		1,826		3,563		650		346		294		3,046		2,337		—		29,136		(1,165)		26,312		54,283
Total assets	16,971		1,880		2,036		3,969		816		381		399		3,520		2,794		581		33,347		(587)		31,351		64,111
Total borrowings	4,206		258		526		1,356		358		83		238		2,382		928		2,556		12,891		(373)		12,332		24,850
Other liabilities	5,250		99		634		1,344		244		15		71		492		507		271		8,927		(204)		4,252		12,975


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 20

Geographical Information

The following table presents consolidated revenue split by reportable segment for the three and six months ended June 30:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Hydroelectric
North America	$	286	$	371	$	708	$	656
Brazil	66		46		133		93
Colombia	292		274		575		579
	644		691		1,416		1,328
Wind
North America	172		175		358		339
Europe	30		47		91		124
Brazil	31		21		54		38
Asia	56		44		105		82
	289		287		608		583
Utility-scale solar	174		207		338		349
Distributed energy & sustainable solutions	98		89		174		150
Total	$	1,205	$	1,274	$	2,536	$	2,410

The following table presents consolidated property, plant and equipment and equity-accounted investments split by geography region:


(MILLIONS)	June 30, 2023		December 31, 2022
United States	$	29,394	$	29,056
Colombia	9,460		8,264
Canada	7,636		7,560
Brazil	5,222		4,754
Europe	3,976		3,963
Asia	2,057		1,932
Other	161		146
	$	57,906	$	55,675

7. INCOME TAXES

Brookfield Renewable's effective income tax rate was 12% for the six months ended June 30, 2023 (2022: 33%). The effective tax rate is different than the statutory rate primarily due to rate differentials and non-controlling interests' income or loss not subject to tax.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 21

8. PROPERTY, PLANT AND EQUIPMENT

The following table presents a reconciliation of property, plant and equipment at fair value:


(MILLIONS)	Hydroelectric		Wind		Solar		Other(1)		Total
Property, plant and equipment, at fair value













As at December 31, 2022	$	31,168	$	11,302	$	8,239	$	242	$	50,951
Additions, net	2		47		(13)		3		39
Transfer from construction work-in-progress	13		149		441		—		603
Acquisitions through business combinations	—		125		—		—		125
Disposals	—		—		—		(5)		(5)
Transfer to assets held for sale	—		—		(30)		—		(30)
Items recognized through OCI:
Change in fair value	—		—		(2)		—		(2)
Foreign exchange	1,478		68		145		9		1,700
Items recognized through net income:

Depreciation	(314)		(331)		(224)		(18)		(887)
As at June 30, 2023	$	32,347	$	11,360	$	8,556	$	231	$	52,494

Construction work-in-progress
As at December 31, 2022	$	299	$	1,132	$	1,897	$	4	$	3,332
Additions	43		390		542		1		976
Transfer to property, plant and equipment	(13)		(149)		(441)		—		(603)
Acquisitions through business combinations	—		—		8		—		8


Items recognized through OCI:
Change in fair value	—		—		7		—		7
Foreign exchange	8		20		20		—		48



As at June 30, 2023	$	337	$	1,393	$	2,033	$	5	$	3,768
Total property, plant and equipment, at fair value
As at December 31, 2022(2)	$	31,467	$	12,434	$	10,136	$	246	$	54,283
As at June 30, 2023(2)	$	32,684	$	12,753	$	10,589	$	236	$	56,262

(1)Includes biomass and cogeneration.

(2)Includes right-of-use assets not subject to revaluation of $62 million (2022: $64 million) in hydroelectric, $229 million (2022: $242 million) in wind, $239 million (2022: $215 million) in solar, and nil (2022: nil) in other.

During the year, Brookfield Renewable, together with its institutional partners, completed the acquisitions of the following investments. They are accounted for as asset acquisitions as they do not constitute business combinations under IFRS 3:

•A 19 MW a portfolio of distributed generation assets in the U.S., with $75 million of property, plant and equipment included in the consolidated statements of financial position at the acquisition date. Brookfield Renewable holds a 25% economic interest.

•A 48 MW portfolio of wind assets in China, with $53 million of property, plant and equipment included in the consolidated statements of financial position at the acquisition date. Brookfield Renewable holds a 25% economic interest.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 22

9. BORROWINGS

Corporate Borrowings

The composition of corporate borrowings is presented in the following table:


	June 30, 2023						December 31, 2022
	Weighted-average						Weighted- average
(MILLIONS EXCEPT AS NOTED)	Interest rate (%)	Term (years)	Carrying value		Estimated fair value		Interest rate (%)		Term (years)	Carrying value		Estimated fair value
Credit facilities	N/A	5	$	—	—		N/A		5	$	—	$	—
Commercial paper	N/A	N/A	—		—		5.1		<1	249		249
Medium Term Notes:
Series 4 (C$150)	5.8	13	113		118		5.8		14	111		114
Series 9 (C$400)	3.8	2	302		292		3.8		2	295		286
Series 10 (C$500)	3.6	4	378		357		3.6		4	369		350
Series 11 (C$475)	4.3	6	359		343		4.3		6	351		338
Series 12 (C$475)	3.4	7	359		324		3.4		7	351		316
Series 13 (C$300)	4.3	26	227		193		4.3		27	221		184
Series 14 (C$425)	3.3	27	321		229		3.3		28	314		218
Series 15 (C$400)(1)	5.9	9	301		314		5.9		10	295		307
Series 16 (C$400)	5.3	10	301		301		—		—	—		—
	4.3	11	2,661		2,471		4.1	%	11	2,307		2,113
Total corporate borrowings			2,661		$	2,471				2,556		$	2,362
Add: Unamortized premiums(2)			2							2
Less: Unamortized financing fees(2)			(12)							(10)
Less: Current portion			—							(249)
			$	2,651						$	2,299

(1)Includes $8 million (2022: $7 million) outstanding to an associate of Brookfield. Refer to Note 20 - Related party transactions for more details.

(2)Unamortized premiums and unamortized financing fees are amortized over the terms of the borrowing.

Credit facilities and commercial paper

Brookfield Renewable had nil commercial paper outstanding as at June 30, 2023 (2022: $249 million).

Brookfield Renewable issues letters of credit from its corporate credit facilities for general corporate purposes which include, but are not limited to, security deposits, performance bonds and guarantees for debt service reserve accounts. See Note 19 – Commitments, contingencies and guarantees for letters of credit issued by subsidiaries.

The following table summarizes the available portion of corporate credit facilities:


(MILLIONS)	June 30, 2023		December 31, 2022
Authorized corporate credit facilities and related party credit facilities(1)	$	2,375	$	2,375

Authorized letter of credit facility	500		500
Issued letters of credit	(325)		(344)
Available portion of corporate credit facilities(3)	$	2,550	$	2,531

(1)Amounts are guaranteed by Brookfield Renewable.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 23

Medium term notes

Corporate borrowings are obligations of a finance subsidiary of Brookfield Renewable, Brookfield Renewable Partners ULC (“Canadian Finco”) (Note 21 – Subsidiary public issuers). Canadian Finco may redeem some or all of the borrowings from time to time, pursuant to the terms of the indenture. The balance is payable upon maturity, and interest on corporate borrowings is paid semi-annually. The term notes payable by Canadian Finco are unconditionally guaranteed by Brookfield Renewable, Brookfield Renewable Energy L.P. (“BRELP”) and certain other subsidiaries.

During the first quarter of 2023, Brookfield Renewable issued C$400 million of Series 16 medium-term notes. The medium-term notes have a fixed interest rate of 5.29% and a maturity date of October 28, 2033. The Series 16 medium-term notes are corporate-level green bonds.

Non-recourse borrowings

Non-recourse borrowings are typically asset-specific, long-term, non-recourse borrowings denominated in the domestic currency of the subsidiary. Non-recourse borrowings in North America and Europe consist of both fixed and floating interest rate debt indexed to the Secured Overnight Financing Rate (“SOFR”), the Sterling Overnight Index Average (“SONIA”), the Euro Interbank Offered Rate (“EURIBOR”) and the Canadian Dollar Offered Rate (“CDOR”). Brookfield Renewable uses interest rate swap agreements in North America and Europe to minimize its exposure to floating interest rates. Non-recourse borrowings in Brazil consist of floating interest rates of Taxa de Juros de Longo Prazo (“TJLP”), the Brazil National Bank for Economic Development’s long-term interest rate, or Interbank Deposit Certificate rate (“CDI”), plus a margin. Non-recourse borrowings in Colombia consist of both fixed and floating interest rates indexed to Indicador Bancario de Referencia rate (IBR), the Banco Central de Colombia short-term interest rate, and Colombian Consumer Price Index (IPC), Colombia inflation rate, plus a margin. Non-Recourse borrowings in India consist of both fixed and floating interest indexed to Prime lending rate of lender (“MCLR”). Non-recourse borrowings in China consist of floating interest rates of People's Bank of China (“PBOC”).

Effective January 1, 2022, SONIA replaced the £ London Interbank Offered Rate (“LIBOR”), and Euro Short-term Rate (“€STR”) replaced € LIBOR. The Canadian Overnight Repo Rate Average (“CORRA”) is expected to replace CDOR after June 28, 2024.

As at June 30, 2023, Brookfield Renewable’s floating rate borrowings have not been materially impacted by SONIA and €STR reforms. Brookfield Renewable has completed an assessment and implemented its transition plan to address the impact and effect changes as a result of amendments to the contractual terms for the replacement of US$ LIBOR with the Secured Overnight Financing Rate (“SOFR”) referenced floating-rate borrowings, interest rate swaps, and updating hedge designations. The adoption did not have a significant impact on Brookfield Renewable’s financial reporting.

The composition of non-recourse borrowings is presented in the following table:


	June 30, 2023						December 31, 2022
	Weighted-average						Weighted-average
(MILLIONS EXCEPT AS NOTED)	Interest rate (%)	Term (years)	Carrying value		Estimated fair value		Interest rate (%)	Term (years)	Carrying value		Estimated fair value
Non-recourse borrowings(1)(2)
Hydroelectric	7.8	11	$	8,739	$	8,568	7.2	10	$	8,813	$	8,104
Wind	5.8	8	5,065		$	4,997	5.4	8	5,943		5,824
Utility-scale solar	6.0	13	4,668		$	4,592	5.6	13	4,625		4,502
Distributed energy & sustainable solutions	6.0	6	3,326		3,118		5.1	7	2,940		2,687
Total	6.7	10	$	21,798	$	21,275	6.1	10	$	22,321	$	21,117
Add: Unamortized premiums(3)			94						105
Less: Unamortized financing fees(3)			(128)						(124)
Less: Current portion			(1,457)						(2,027)
			$	20,307					$	20,275

(1)Includes $923 million (2022: 1,838 million ) borrowed under a subscription facility of a Brookfield sponsored private fund.

(2)Includes $115 million (2022: $93 million) outstanding to an associate of Brookfield. Refer to Note 20 - Related party transactions for more details.

(3)Unamortized premiums and unamortized financing fees are amortized over the terms of the borrowing.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 24

Brookfield Renewable’s financing and refinancing completed for the six months ended June 30, 2023 are as follows:

Period Closed

Region

Technology

Average

Interest

rate1

Maturity

Carrying Value

Q1 2023

Distributed generation

7.03%

Financing

2026

$100 million

Q1 2023

China

Wind

4.4%

Financing

2040

CNY 971 million ($141 million)

Q1 2023

China

Wind

4.6%

Financing

2030

CNY 200 million ($29 million)

Q1 2023

China

Wind

4.6%

Financing

2039

CNY 70 million ($10 million)

Q1 2023

China

Wind

4.4%

Financing

2039

CNY 97 million ($14 million)

Q2 2023

India

Solar

MCLR

Financing

2043

INR 10 billion ($123 million)

Q2 2023

Brazil

Wind

CDI

Financing

2024

BRL $450 million ($93 million)

Q2 2023

Canada

Hydroelectric

6.19%

Financing

2045

CAD $30 million ($22 million)

Q2 2023

Solar

6.62%

Financing

2058 - 2060

$45 million

Q2 2023

Wind

SOFR

Refinancing

2033

$311 million

(1)Benchmarked financings bear a variable interest at the applicable rate plus a margin.

In the second quarter of 2023, the Company extended the maturity of its $650 million credit facility associated with the United States business to mature in 2026.

10. NON-CONTROLLING INTERESTS

Brookfield Renewable`s non-controlling interests are comprised of the following:


(MILLIONS)	June 30, 2023		December 31, 2022
Participating non-controlling interests – in operating subsidiaries	$	16,604	$	14,755
General partnership interest in a holding subsidiary held by Brookfield	59		59
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	2,908		2,892
BEPC exchangeable shares	2,686		2,561
Preferred equity	584		571
Perpetual subordinated notes	592		592
	$	23,433	$	21,430


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 25

Participating non-controlling interests – in operating subsidiaries

The net change in participating non-controlling interests – in operating subsidiaries is as follows:


(MILLIONS)	Brookfield Americas Infrastructure Fund		Brookfield Infrastructure Fund II		Brookfield Infrastructure Fund III		Brookfield Infrastructure Fund IV			Brookfield Global Transition Fund I		Canadian Hydroelectric Portfolio			The Catalyst Group			Isagen institutional investors			Isagen public non-controlling interests			Other		Total









As at December 31, 2022	$	477	$	2,617	$	3,490	$	2,134		$	1,461	$	1,148		$	115		$	2,159		$	14		$	1,140	$	14,755
Net income	30		44		90		24			54		14			9			63			—			24		352
Other comprehensive income (loss)	(30)		50		201		67			12		25			—			308			2			(33)		602
Capital contributions	—		—		—		86			1,437		—			—			—			—			58		1,581


Disposal	(388)		—		—		—			(26)		—			—			—			—			—		(414)
Distributions	(21)		(44)		(119)		(63)			(2)		(28)			(3)			(86)			(1)			(34)		(401)
Other	27		1		(22)		—			(19)		166			—			—			—			(24)		129
As at June 30, 2023	$	95	$	2,668	$	3,640	$	2,248		$	2,917	$	1,325		$	121		$	2,444		$	15		$	1,131	$	16,604
Interests held by third parties	75% - 78%		43% - 60%		23% - 71%		75		%	77% - 80%		50		%	25		%	53		%	0.3		%	0.3% - 71%


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 26

General partnership interest in a holding subsidiary held by Brookfield, Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield and BEPC Class A exchangeable shares of Brookfield Renewable Corporation held by public shareholders and Brookfield

Brookfield, as the owner of the 1% GP interest in BRELP, is entitled to regular distributions plus an incentive distribution based on the amount by which quarterly distributions exceed specified target levels. As at June 30, 2023, to the extent that LP unit distributions exceed $0.20 per LP unit per quarter, the incentive is 15% of distributions above this threshold. To the extent that quarterly LP unit distributions exceed $0.2253 per LP unit per quarter, the incentive distribution is equal to 25% of distributions above this threshold. Incentive distributions of $28 million and $55 million were declared during the three and six months ended June 30, 2023, respectively (2022: $23 million and $47 million, respectively).

Consolidated equity includes Redeemable/Exchangeable partnership units, BEPC exchangeable shares and the GP interest. The Redeemable/Exchangeable partnership units and the GP interest are held 100% by Brookfield and the BEPC exchangeable shares are held 25% by Brookfield with the remainder held by public shareholders. The Redeemable/Exchangeable partnership units and BEPC exchangeable shares provide the holder, at its discretion, with the right to redeem these units or shares, respectively, for cash consideration. Since this redemption right is subject to Brookfield Renewable’s right, at its sole discretion, to satisfy the redemption request with LP units of Brookfield Renewable on a one-for-one basis, the Redeemable/Exchangeable partnership units and BEPC exchangeable shares are classified as equity in accordance with IAS 32, Financial Instruments: Presentation.

The Redeemable/Exchangeable partnership units, BEPC exchangeable shares and the GP interest are presented as non-controlling interests since they relate to equity in a subsidiary that is not attributable, directly or indirectly, to Brookfield Renewable. During the three and six months ended June 30, 2023, exchangeable shareholders of BEPC exchanged 833 and 2,575 BEPC exchangeable shares (2022: 4,743 and 8,084 shares during the same periods) for an equivalent number of LP units amounting to less than $1 million (2022: less than $1 million). No Redeemable/Exchangeable partnership units have been redeemed.

The Redeemable/Exchangeable partnership units issued by BRELP and the BEPC exchangeable shares issued by BEPC have the same economic attributes in all respects to the LP units issued by Brookfield Renewable, except for the redemption rights described above. The Redeemable/Exchangeable partnership units, BEPC exchangeable shares and the GP interest, excluding incentive distributions, participate in earnings and distributions on a per unit basis equivalent to the per unit participation of the LP units of Brookfield Renewable.

As at June 30, 2023, Redeemable/Exchangeable partnership units, BEPC exchangeable shares and units of GP interest outstanding were 194,487,939 units (December 31, 2022: 194,487,939 units), 179,657,416 shares (December 31, 2022: 172,218,098 shares), and 3,977,260 units (December 31, 2022: 3,977,260 units), respectively.

In December 2022, Brookfield Renewable renewed its normal course issuer bid in connection with its LP units and entered into a normal course issuer bid for its outstanding BEPC exchangeable shares. Brookfield Renewable is authorized to repurchase up to 13,764,352 LP units and 8,610,905 BEPC exchangeable shares, representing 5% of its issued and outstanding LP units and BEPC exchangeable shares. The bids will expire on December 15, 2023, or earlier should Brookfield Renewable complete its repurchases prior to such date. There were no LP units or BEPC exchangeable shares repurchased during the three and six months ended June 30, 2023 and 2022.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 27

Distributions

The composition of the distributions for the three and six months ended June 30 is presented in the following table:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
General partnership interest in a holding subsidiary held by Brookfield	$	1	$	2	$	2	$	3
Incentive distribution	28		23		55		47
	29		25		57		50
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	66		63		133		126
BEPC exchangeable shares held by
Brookfield	15		15		31		30
External shareholders	46		40		88		80
Total BEPC exchangeable shares	61		55		119		110
	$	156	$	143	$	309	$	286

Preferred equity

Brookfield Renewable's preferred equity consists of Class A Preference Shares of Brookfield Renewable Power Preferred Equity Inc. ("BRP Equity") as follows:


(MILLIONS EXCEPT AS NOTED)	Shares outstanding	Cumulative distribution rate (%)	Earliest permitted redemption date	Distributions declared for the six months ended June 30				Carrying value as at

				2023		2022		June 30, 2023		December 31, 2022
Series 1 (C$136)	6.85	3.1	April 2025	$	2	$	2	$	129	$	126
Series 2 (C$113)(1)	3.11	7.0	April 2025	2		2		59		57
Series 3 (C$249)	9.96	4.4	July 2024	4		4		186		183
Series 5 (C$103)	4.11	5.0	April 2018	2		2		77		76
Series 6 (C$175)	7.00	5.0	July 2018	3		3		134		129
	31.03			$	13	$	13	$	584	$	571

(1)Dividend rate represents annualized distribution based on the most recent quarterly floating rate.

Distributions paid during the three and six months ended June 30, 2023, totaled $6 million and $13 million, respectively (2022: $6 million and $13 million, respectively).

The Class A Preference Shares do not have a fixed maturity date and are not redeemable at the option of the holders. As at June 30, 2023, none of the issued Class A, Series 5 and 6 Preference Shares have been redeemed by BRP Equity.

In December 2022, the Toronto Stock Exchange accepted notice of BRP Equity's intention to renew the normal course issuer bid in connection with its outstanding Class A Preference Shares for another year to December 15, 2023, or earlier should the repurchases be completed prior to such date. Under this normal course issuer bid, BRP Equity is permitted to repurchase up to 10% of the total public float for each respective series of the Class A Preference Shares. Shareholders may receive a copy of the notice, free of charge, by contacting Brookfield Renewable. There were no repurchases of Class A Preference Shares during the three and six months ended June 30, 2023 and 2022.

Perpetual subordinated notes

In April 2021 and December 2021, Brookfield BRP Holdings (Canada) Inc., a wholly-owned subsidiary of Brookfield Renewable, issued $350 million and $260 million, respectively, of perpetual subordinated notes at a fixed rate of 4.625% and 4.875%, respectively.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 28

The interest expense on the perpetual subordinated notes during the three and six months ended June 30, 2023 of $7 million and $14 million, respectively (2022: $7 million and $14 million, respectively) are presented as distributions in the consolidated statements of changes in equity. The carrying value of the perpetual subordinated notes, net of transaction cost, is $592 million as at June 30, 2023 (December 31, 2022: $592 million).

Distributions paid during the three and six months ended June 30, 2023, totaled $7 million and $14 million, respectively (2022: $9 million and $13 million, respectively).

11. PREFERRED LIMITED PARTNERS' EQUITY

Brookfield Renewable’s preferred limited partners’ equity comprises of Class A Preferred units as follows:


(MILLIONS, EXCEPT AS NOTED)	Shares outstanding	Cumulative distribution rate (%)	Earliest permitted redemption date	Distributions declared for the six months ended June 30				Carrying value as at
				2023		2022		June 30, 2023		December 31, 2022

Series 7 (C$175)	7.00	5.50	January 2026	4		4		128		128

Series 11 (C$250)(1)	—	5.00	April 2022	—		3		—		—
Series 13 (C$250)	10.00	6.05	April 2028	5		5		196		196
Series 15 (C$175)	7.00	5.75	April 2024	4		4		126		126
Series 17 ($200)	8.00	5.25	March 2025	5		5		195		195
Series 18 (C$150)	6.00	5.50	April 2027	2		2		115		115
	38.00			$	20	$	23	$	760	$	760

(1)In the second quarter of 2022, Brookfield Renewable redeemed all of the outstanding units of Series 11 Preferred Limited Partnership units.

Distributions paid during the three and six months ended June 30, 2023, totaled $10 million and $20 million, respectively (2022: $12 million and $23 million, respectively).

During the quarter, Brookfield Renewable declared the fixed quarterly distributions on the Class A Preferred Limited Partnership Series 13 Units during the five years commencing May 1, 2023 will be paid at an annual rate of 6.05%.

Class A Preferred LP Units - Normal Course Issuer Bid

In December 2022, the Toronto Stock Exchange accepted notice of Brookfield Renewable's intention to renew the normal course issuer bid in connection with the outstanding Class A Preferred Limited Partnership Units for another year to December 15, 2023, or earlier should the repurchases be completed prior to such date. Under this normal course issuer bid, Brookfield Renewable is permitted to repurchase up to 10% of the total public float for each respective series of its Class A Preferred Limited Partnership Units. Unitholders may receive a copy of the notice, free of charge, by contacting Brookfield Renewable. No shares were repurchased during the three and six months ended June 30, 2023 and 2022.

12. LIMITED PARTNERS' EQUITY

Limited partners’ equity

On June 16, 2023, Brookfield Renewable completed the issuance of 8,200,000 LP Units and 7,430,000 BEPC Exchangeable shares on a bought deal basis at a price of $30.35 per LP Unit and $33.80 per BEPC Exchangeable Share for gross proceeds of $500 million. Concurrently, a subsidiary of Brookfield Reinsurance purchased 5,148,270 LP units at the LP unit offering price (net of underwriting commission). The aggregate gross proceeds of the offering and the concurrent private placement was approximately $650 million. Brookfield Renewable incurred $20 million in related transaction costs inclusive of fees paid to underwriters.

As at June 30, 2023, 288,846,874 LP units were outstanding (December 31, 2022: 275,358,750 LP units) including 73,897,686 LP units (December 31, 2022: 68,749,416 LP units) held by Brookfield. Brookfield owns all general partnership interests in Brookfield Renewable representing a 0.01% interest.

During the three and six months ended June 30, 2023, 65,160 and 137,279 LP units, respectively (2022: 78,327 and 147,192 LP units, respectively) were issued under the distribution reinvestment plan at a total cost of $2 million and $4 million, respectively (2022: $3 million and $6 million, respectively).


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 29

During the three and six months ended June 30, 2023, shareholders of BEPC exchangeable shares exchanged 833 and 2,575 exchangeable shares, respectively (2022: 4,743 and 8,084 exchangeable shares, respectively) for an equivalent number of LP units amounting to less than $1 million (2022: less than $1 million).

As at June 30, 2023, Brookfield Corporation’s direct and indirect interest of 313,199,460 LP units, 5,148,270 LP units owned by a subsidiary of Brookfield Reinsurance Limited, Redeemable/Exchangeable partnership units and BEPC exchangeable shares represents approximately 47% of Brookfield Renewable on a fully-exchanged basis and the remaining approximate 53% is held by public investors.

On an unexchanged basis, Brookfield Corporation holds a 26% direct limited partnership interest in Brookfield Renewable, a 40% direct interest in BRELP through the ownership of Redeemable/Exchangeable partnership units, a 1% direct GP interest in BRELP and a 25% direct interest in the exchangeable shares of BEPC as at June 30, 2023.

In December 2022, Brookfield Renewable renewed its normal course issuer bid in connection with its LP units and outstanding BEPC exchangeable shares. Brookfield Renewable is authorized to repurchase up to 13,764,352 LP units and 8,610,905 BEPC exchangeable shares, representing 5% of each of its issued and outstanding LP units and BEPC exchangeable shares. The bids will expire on December 15, 2023, or earlier should Brookfield Renewable complete its repurchases prior to such date. There were no LP units or BEPC exchangeable shares repurchased during the three and six months ended June 30, 2023 and 2022.

Distributions

The composition of distributions for the three and six months ended June 30 are presented in the following table:


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Brookfield	$	23	$	22	$	47	$	45
External LP unitholders	69		66		142		134
	$	92	$	88	$	189	$	179

In February 2023, Unitholder distributions were increased to $1.35 per LP unit on an annualized basis, an increase of $0.07 per LP unit, which took effect with the distribution paid in March 2023.

Distributions paid during the three and six months ended June 30, 2023 totaled $91 million and $182 million (2022: $85 million and $174 million).

13. GOODWILL

The following table provides a reconciliation of goodwill:


(MILLIONS)	Total




Balance, as at December 31, 2022	1,526

Transfer to Assets held for sale	(18)
Foreign exchange and other	95
Balance, as at June 30, 2023	$	1,603


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 30

14. EQUITY-ACCOUNTED INVESTMENTS

The following are Brookfield Renewable’s equity-accounted investments for the six months ended June 30, 2023:


(MILLIONS)	June 30, 2023
Balance, beginning of year	$	1,392
Investment	222

Share of net income	46
Share of other comprehensive income	(18)
Dividends received	(21)
Foreign exchange translation and other	23
Balance as at June 30, 2023	$	1,644

During the first quarter of 2023, Brookfield Renewable, together with institutional partners, acquired an approximately 4% equity interest in a sustainable agricultural solutions company in India for INR 7 billion ($86 million) (approximately INR 1.4 billion ($17 million) net to Brookfield Renewable).

During the second quarter of 2023, Brookfield Renewable, together with its institutional partner, subscribed for additional shares in Powen. This subscription increased the total interest in Powen to 38% (8% net to Brookfield Renewable).

15. CASH AND CASH EQUIVALENTS

Brookfield Renewable’s cash and cash equivalents are as follows:


(MILLIONS)	June 30, 2023		December 31, 2022
Cash	$	863	$	728
Cash subject to restriction	281		268
Short-term deposits	58		2
	$	1,202	$	998

16. RESTRICTED CASH

Brookfield Renewable’s restricted cash is as follows:


(MILLIONS)	June 30, 2023		December 31, 2022
Operations	$	139	$	93
Credit obligations	47		56
Capital expenditures and development projects	10		42
Total	196		191
Less: non-current	(60)		(52)
Current	$	136	$	139


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 31

17. TRADE RECEIVABLES AND OTHER CURRENT ASSETS

Brookfield Renewable's trade receivables and other current assets are as follows:


(MILLIONS)	June 30, 2023		December 31, 2022
Trade receivables	$	652	$	672
Collateral deposits(1)	335		609
Short-term deposits and advances	140		113
Prepaids and other	113		86
Income tax receivable	74		74
Sales taxes receivable	73		73
Current portion of contract asset	61		54
Inventory	40		42
Other short-term receivables	145		137
	$	1,633	$	1,860

(1)Collateral deposits are related to energy derivative contracts that Brookfield Renewable enters into in order to mitigate the exposure to wholesale market electricity prices on the future sale of uncontracted generation, as part of Brookfield Renewable's risk management strategy.

Brookfield Renewable primarily receives monthly payments for invoiced power purchase agreement revenues and has no significant aged receivables as of the reporting date. Receivables from contracts with customers are reflected in Trade receivables.

18. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

Brookfield Renewable's accounts payable and accrued liabilities are as follows:


(MILLIONS)	June 30, 2023		December 31, 2022
Operating accrued liabilities	$	398	$	440
Accounts payable	219		276
Interest payable on borrowings	191		153

Income tax payable	44		78
LP Unitholders distributions, preferred limited partnership unit distributions, preferred dividends payable , perpetual subordinate notes distributions and exchange shares dividends(1)	58		53
Current portion of lease liabilities	34		33
Current portion of contract liability	30		24
Other	46		29
	$	1,020	$	1,086

(1)Includes amounts payable only to external LP unitholders and BEPC exchangeable shareholders. Amounts payable to Brookfield are included in due to related parties.

19. COMMITMENTS, CONTINGENCIES AND GUARANTEES

Commitments

In the course of its operations, Brookfield Renewable and its subsidiaries have entered into agreements for the use of water, land and dams. Payment under those agreements varies with the amount of power generated. The various agreements can be renewed and are extendable up to 2089.

In the normal course of business, Brookfield Renewable will enter into capital expenditure commitments which primarily relate to contracted project costs for various growth initiatives. As at June 30, 2023, Brookfield Renewable had $1.4 billion (2022: $1 billion) of capital expenditure commitments outstanding of which $1,003 million is payable in 2023, $425 million is payable in 2024, $11 million is payable in 2025 to 2027, and $6 million thereafter.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 32

The following table lists the assets and portfolio of assets that Brookfield Renewable, together with institutional partners have agreed to acquire which are subject to customary closing conditions as at June 30, 2023:

Region

Technology

Capacity

Consideration

Brookfield Renewable
Economic Interest

Expected Close

China

Wind

102 MW development

CNY $255 million ($38 million)

Q4 2023

U.S.

Nuclear Services

N/A

$4.5 billion

Approximately $450 million

Second half of 2023

U.S.

Utility-scale solar

473 MW operating

$135 million

First of three projects in Q4 2023

China

Wind

350 MW development

CNY $853 million ($125 million)

First of two projects in Q4 2023

Europe

Utility-scale solar

649 MW operating

531 MW development

$900 million

Second half of 2023

Australia

Integrated power generator and energy retailer

7 GW of operating and contracted assets with $4.5 million customer accounts

A$8.91 per share, implying an enterprise value of A$18.7 billion for entire Origin

Up to $750 million

Q1 2024

U.S

Distributed energy & sustainable solutions

220 MW development

$14 million

Q3 2023

U.S

Integrated developer and operator of renewable power

5,900 MW of operating and under construction 6,100 MW development

$1.05 billion

Second half of 2023

U.S

Distributed energy & sustainable solutions

14 MW development

$30 million

Q3 2023

India

C&I renewable platform

4,500 megawatts of operating and development pipeline;

INR $15.4 billion ($188 million)

Second half of 2023

Brazil

Distributed energy & sustainable solutions

730 MW development

BRL $430 million ($83 million)

2023-2026

Brazil

Wind

60 MW operating

BRL $112 million ($20 million)

Q3 2023

An integral part of Brookfield Renewable’s strategy is to participate with institutional partners in Brookfield-sponsored private equity funds that target acquisitions that suit Brookfield Renewable’s profile. In the normal course of business, Brookfield Renewable has made commitments to Brookfield-sponsored private equity funds to participate in these target acquisitions in the future, if and when identified. From time to time, in order to facilitate investment activities in a timely and efficient manner, Brookfield Renewable will fund deposits or incur other costs and expenses (including by use of loan facilities to consummate, support, guarantee or issue letters of credit) in respect of an investment that ultimately will be shared with or made entirely by Brookfield sponsored vehicles, consortiums and/or partnerships (including private funds, joint ventures and similar arrangements), Brookfield Renewable, or by co-investors.

Contingencies

Brookfield Renewable and its subsidiaries are subject to various legal proceedings, arbitrations and actions arising in the normal course of business. While the final outcome of such legal proceedings and actions cannot be predicted with certainty, it is the opinion of management that the resolution of such proceedings and actions will not have a material impact on Brookfield Renewable’s consolidated financial position or results of operations.

Brookfield Renewable, on behalf of Brookfield Renewable’s subsidiaries, and the subsidiaries themselves have provided letters of credit, which include, but are not limited to, guarantees for debt service reserves, capital reserves, construction


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 33

completion and performance. The activity on the issued letters of credit by Brookfield Renewable can be found in Note 9 – Borrowings.

Brookfield Renewable, along with institutional partners, has provided letters of credit, which include, but are not limited to, guarantees for debt service reserves, capital reserves, construction completion and performance as it relates to interests in the Brookfield Americas Infrastructure Fund, the Brookfield Infrastructure Fund II, Brookfield Infrastructure Fund III, Brookfield Infrastructure Fund IV, Brookfield Infrastructure Fund V, Brookfield Infrastructure Income Fund, Brookfield Global Transition Fund I and Brookfield Global Transition Fund II. Brookfield Renewable’s subsidiaries have similarly provided letters of credit, which include, but are not limited to, guarantees for debt service reserves, capital reserves, construction completion and performance.

Letters of credit issued by Brookfield Renewable along with institutional partners and its subsidiaries were as at the following dates:


(MILLIONS)	June 30, 2023		December 31, 2022
Brookfield Renewable along with institutional partners	$	99	$	99
Brookfield Renewable's subsidiaries	1,438		1,510
	$	1,537	$	1,609

Guarantees

In the normal course of operations, Brookfield Renewable and its subsidiaries execute agreements that provide for indemnification and guarantees to third-parties of transactions such as business dispositions, capital project purchases, business acquisitions, power marketing activities such as purchase and sale agreements, swap agreements, credit facilities of certain Brookfield private funds and that are also secured by committed capital of our third-party institutional partners, and sales and purchases of assets and services. Brookfield Renewable has also agreed to indemnify its directors and certain of its officers and employees. The nature of substantially all of the indemnification undertakings prevents Brookfield Renewable from making a reasonable estimate of the maximum potential amount that Brookfield Renewable could be required to pay third parties as the agreements do not always specify a maximum amount and the amounts are dependent upon the outcome of future contingent events, the nature and likelihood of which cannot be determined at this time. Historically, neither Brookfield Renewable nor its subsidiaries have made material payments under such indemnification agreements.

20. RELATED PARTY TRANSACTIONS

Brookfield Renewable’s related party transactions are recorded at the exchange amount. Brookfield Renewable`s related party transactions are primarily with Brookfield and Brookfield Reinsurance Ltd (“Brookfield Reinsurance”).

On June 16, 2023, Brookfield Renewable completed the issuance of 8,200,000 LP Units and 7,430,000 BEPC exchangeable shares on a bought deal basis at a price of $30.35 per LP Unit and $33.80 per BEPC exchangeable Share for gross proceeds of $500 million. Concurrently, a subsidiary of Brookfield Reinsurance purchased 5,148,270 LP units at the LP unit offering price (net of underwriting commission). The aggregate gross proceeds of the offering and the concurrent private placement was approximately $650 million. Brookfield Renewable incurred $20 million in related transaction costs inclusive of fees paid to underwriters.

Brookfield Corporation has provided a $400 million committed unsecured revolving credit facility maturing in December 2023 and the draws bear interest at Secured Overnight Financing Rate plus a margin. During the current period, there were no draws on the committed unsecured revolving credit facility provided by Brookfield Corporation. Brookfield Corporation may from time to time place funds on deposit with Brookfield Renewable which are repayable on demand including any interest accrued. There were nil funds placed on deposit with Brookfield Renewable as at June 30, 2023 (December 31, 2022: nil). The interest expense on the Brookfield Corporation revolving credit facility and deposit for the three and six months ended June 30, 2023 totaled nil (2022: less than $1 million).


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 34

The following table reflects the related party agreements and transactions for the three and six months ended June 30 in the interim consolidated statements of income (loss):


	Three months ended June 30				Six months ended June 30
(MILLIONS)	2023		2022		2023		2022
Revenues
Power purchase and revenue agreements	$	8	$	9	$	52	$	22



Direct operating costs

Energy marketing fee & other services	(4)		(1)		(5)		(4)

	$	(4)	$	(1)	$	(5)	$	(4)
Interest expense
Borrowings	$	(5)	$	—	$	(10)	$	—
Contract balance accretion	(7)		(6)		$	(15)	$	(12)
	$	(12)	$	(6)	$	(25)	$	(12)

Other
Distribution income	$	4	$	—	$	5	$	—
Related party services	$	6	$	(1)	$	6	$	(2)

Management service costs	$	(55)	$	(65)	$	(112)	$	(141)


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 35

The following table reflects the impact of the related party agreements and transactions on the consolidated statements of financial position:


(MILLIONS)	Related party	June 30, 2023		December 31, 2022
Current assets
Trade receivables and other current assets
Contract asset	Brookfield	$	57	$	54

Due from related parties
Amounts due from	Brookfield	155		105
	Equity-accounted investments and other	56		18
		211		123

Financial instrument assets	Brookfield	197		395

Non-current assets
Other long-term assets
Contract asset	Brookfield	330		341

Amounts due from	Brookfield	—		—
Amounts due from	Equity-accounted investments and other	135		128


Current liabilities
Contract liability	Brookfield	30		24

Financial instrument liabilities	Brookfield Reinsurance	10		3

Due to related parties
Amounts due to	Brookfield	236		166
	Equity-accounted investments and other	95		62
	Brookfield Reinsurance	309		321
Accrued distributions payable on LP units, BEPC exchangeable shares, Redeemable/Exchangeable partnership units and GP interest	Brookfield	42		38
		682		587

Non-recourse borrowings	Brookfield	10		18

Non-current liabilities
Financial instrument liabilities	Brookfield Reinsurance	15		3

Corporate borrowings	Brookfield Reinsurance	8		7

Non-recourse borrowings	Brookfield Reinsurance and associates	115		93
	Brookfield	923		1,750

Other long-term liabilities
Amounts due to	Equity-accounted investments, Brookfield Reinsurance and associates and other	1		1
Contract liability	Brookfield	670		662
		$	671	$	663
Equity
Preferred limited partners equity	Brookfield Reinsurance and associates	$	12	$	12


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 36

21. SUBSIDIARY PUBLIC ISSUERS

The following tables provide consolidated summary financial information for Brookfield Renewable, BRP Equity, and Canadian Finco:


(MILLIONS)	Brookfield Renewable(1)		BRP Equity		Canadian Finco		Subsidiary Credit Supporters(2)		Other Subsidiaries(1)(3)		Consolidating adjustments(4)		Brookfield Renewable consolidated
As at June 30, 2023
Current assets	$	65	$	400	$	2,723	$	902	$	3,608	$	(4,080)	$	3,618
Long-term assets	5,086		246		3		46,078		62,208		(51,337)		62,283
Current liabilities	67		7		61		8,254		3,710		(8,143)		3,956
Long-term liabilities	—		—		2,651		15		30,767		—		33,433
Participating non-controlling interests – in operating subsidiaries	—		—		—		—		16,604		—		16,604
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	—		—		—		2,908		—		—		2,908
BEPC exchangeable shares	—		—		—		—		2,686		—		2,686
Preferred equity	—		584		—		—		—		—		584
Perpetual subordinated notes	—		—		—		592		—		—		592
Preferred limited partners' equity	761		—		—		765		—		(766)		760
As at December 31, 2022
Current assets	$	61	$	391	$	2,336	$	834	$	4,172	$	(3,611)	$	4,183
Long-term assets	4,860		241		3		33,830		59,860		(38,866)		59,928
Current liabilities	60		7		30		7,877		4,455		(7,486)		4,943
Long-term liabilities	—		—		2,299		16		30,567		—		32,882
Participating non-controlling interests – in operating subsidiaries	—		—		—		—		14,755		—		14,755
Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield	—		—		—		2,892		—		—		2,892
BEPC exchangeable shares	—		—		—		—		2,561		—		2,561
Preferred equity	—		571		—		—		—		—		571
Perpetual subordinated notes	—		—		—		592		—		—		592
Preferred limited partners' equity	761		—		—		765		—		(766)		760

(1)Includes investments in subsidiaries under the equity method.

(2)Includes BRELP, BRP Bermuda Holdings I Limited, Brookfield BRP Holdings (Canada) Inc., Brookfield BRP Europe Holdings Limited, Brookfield Renewable Investments Limited and BEP Subco Inc., collectively the "Subsidiary Credit Supporters".

(3)Includes subsidiaries of Brookfield Renewable, other than BRP Equity, Canadian Finco and the Subsidiary Credit Supporters.

(4)Includes elimination of intercompany transactions and balances necessary to present Brookfield Renewable on a consolidated basis.


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 37


(MILLIONS)	Brookfield Renewable(1)		BRP Equity		Canadian Finco		Subsidiary Credit Supporters(2)		Other Subsidiaries(1)(3)		Consolidating adjustments(4)		Brookfield Renewable consolidated
Three months ended June 30, 2023
Revenues	$	—	$	—	$	—	$	—	$	1,205	$	—	$	1,205
Net income (loss)	(18)		—		1		(275)		424		19		151
Three months ended June 30, 2022
Revenues	$	—	$	—	$	—	$	—	$	1,274	$	—	$	1,274
Net income (loss)	3		—		—		(124)		188		55		122
Six months ended June 30, 2023
Revenues	$	—	$	—	$	—	$	—	$	2,536	$	—	$	2,536
Net income (loss)	(34)		—		2		(461)		777		44		328
Six months ended June 30, 2022
Revenues	$	—	$	—	$	—	$	—	$	2,410	$	—	$	2,410
Net income (loss)	(30)		—		(3)		(407)		363		232		155

(1)Includes investments in subsidiaries under the equity method.

(3)Includes subsidiaries of Brookfield Renewable, other than BRP Equity, Canadian Finco, and the Subsidiary Credit Supporters.

(4)Includes elimination of intercompany transactions and balances necessary to present Brookfield Renewable on a consolidated basis.

See Note 9 – Borrowings for additional details regarding the medium-term borrowings issued by Canadian Finco. See Note 10 – Non-controlling interests for additional details regarding Class A Preference Shares issued by BRP Equity.

22. SUBSEQUENT EVENTS

Subsequent to the quarter, Brookfield Renewable, together with institutional partners, completed the subscription of additional shares in Powen for €25 million ($28 million and $6 million net to Brookfield Renewable) which increased the total interest in Powen to 44% (8.8% net to Brookfield Renewable).


Brookfield Renewable Partners L.P.	Q2 2023 Interim Consolidated Financial Statements and Notes	June 30, 2023
		Page 38


GENERAL INFORMATION
Corporate Office 73 Front Street Fifth Floor Hamilton, HM12 Bermuda Tel: (441) 294-3304 https://bep.brookfield.com Officers of Brookfield Renewable Partners L.P.'s Service Provider, Brookfield Canada Renewable Manager LP. Connor Teskey Chief Executive Officer Wyatt Hartley Chief Financial Officer Transfer Agent & Registrar Computershare Trust Company of Canada 100 University Avenue 9th floor Toronto, Ontario, M5J 2Y1 Tel Toll Free: (800) 564-6253 Fax Toll Free: (888) 453-0330 www.computershare.com						Directors of the General Partner of Brookfield Renewable Partners L.P. Jeffrey Blidner Scott Cutler Nancy Dorn David Mann Lou Maroun Stephen Westwell Patricia Zuccotti Dr. Sarah Deasley Exchange Listing NYSE: BEP (LP units) TSX: BEP.UN (LP units) NYSE: BEPC (exchangeable shares) TSX: BEPC (exchangeable shares) TSX: BEP.PR.G (Preferred LP Units - Series 7) TSX: BEP.PR.M (Preferred LP Units - Series 13) TSX: BEP.PR.O (Preferred LP Units - Series 15) NYSE: BEP.PR.A (Preferred LP Units - Series 17) TSX: BEP.PR.R (Preferred LP Units - Series 18) TSX: BRF.PR.A (Preferred shares - Series 1) TSX: BRF.PR.B (Preferred shares - Series 2) TSX: BRF.PR.C (Preferred shares - Series 3) TSX: BRF.PR.E (Preferred shares - Series 5) TSX: BRF.PR.F (Preferred shares - Series 6) NYSE: BEPH (Perpetual subordinated notes) NYSE: BEPI (Perpetual subordinated notes) Investor Information Visit Brookfield Renewable online at https://bep.brookfield.com for more information. The 2022 Annual Report and Form 20-F are also available online. For detailed and up-to-date news and information, please visit the News Release section. Additional financial information is filed electronically with various securities regulators in United States and Canada through EDGAR at www.sec.gov and through SEDAR at www.sedar.com. Shareholder enquiries should be directed to the Investor Relations Department at (416) 649-8172 or enquiries@brookfieldrenewable.com

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