POWERED BY MOMENTUM MEDIA
UK pension funds invests in renewable energy
Greater Manchester and London Infrastructure Limited (GLIL) has committed £60 million ($128.3 million) towards funding the construction and operation of British renewable energy assets.
Iona Capital will be responsible for sourcing and management of the individual projects.
The investment will first fund £9 million towards Essex biomass plant Leeming Biogas, with five to 10 other projects. The projects are aimed to create a balanced and diversified portfolio mix using various counterparties and feedstock suppliers.
GLIL is a £500 million infrastructure investment joint venture between Greater Manchester Pension Fund (GMPF), and the London Pensions Fund Authority (LPFA).
GMPF assistant executive director, Paddy Dowdall, said "we have underwritten this investment with a double-digit return and an expectation of early cash flows — attractive characteristics for out portfolio".
LPFA chief investment officer, Chris Rule, said infrastructure investment provided an attractive opportunity to drive both capital and inflation linked cash flows and well suited to its long-term investment horizon.
"We are building a diversified portfolio of operational and greenfield assets and are delighted to make this first investment, which will provide equity capital for the development of essential new build energy infrastructure in the UK," he said.
The investments will utilise proven biological and thermal conversion technologies such as anaerobic digestion and biomass combined heat and power.
The venture will finance projects from planning consent through construction, with the intention of holding the operation plants through their economic life.
Recommended for you
While institutional investors, including super funds, unanimously acknowledge the energy transition as a significant challenge, their perspectives on the extent of their involvement in addressing the substantial capital requirements vary widely.
Despite a period of increased volatility, several considerations suggest that the bull market will remain intact and the trend in shares will remain up, an economist has suggested.
HESTA has slammed Woodside’s climate transition action plan, pointing to “significant” gaps.
All merger proposals will have to be approved by the consumer watchdog under the sweeping merger reforms announced by the government on Wednesday.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI First Close USD
73.88 3 y p.a(%)
2
Hills International
63.66 3 y p.a(%)
3
Acadian Global Equity Long Short Class A
36.33 3 y p.a(%)
4
CFS FC Acadian Global Equity Long Short
35.96 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
32.23 3 y p.a(%)
Add new comment