UK Green Investment Bank plans to launch new £1bn fund for offshore wind

24 June 2014 (Last Updated June 24th, 2014 18:30)

The UK Green Investment Bank (GIB) is planning to launch a £1bn fund to acquire equity stakes in operational offshore wind projects in the country.

Offshore

The UK Green Investment Bank (GIB) is planning to launch a £1bn fund to acquire equity stakes in operational offshore wind projects in the country.

The Bank is seeking a suitable group of strategic, long-term co-investors to participate in the fund, which will be managed by a GIB subsidiary.

It will also seek permission from the Financial Conduct Authority (FCA) to become a regulated fund manager.

The UK has 3.6GW of installed offshore wind capacity, and 1 1.4GW in construction and several additional projects in the development stage.

"We have emerged from our start-up phase as the most active investor in the UK's green economy. 2013-14 was a good year for GIB in a difficult market - we backed 18 new projects, more than double our first year, committing an additional £668m of capital," GIB chairman Lord Smith of Kelvin said.

In May 2014, the European Commission gave Sate Aid approval to GIB to promote and manage funds and other co-investment structures for mobilising upfront private sector investment into its designated sectors.

The Bank also reported that it had committed £668m to 18 new green projects in 2013-14, taking its total capital commitments to £1.3bn of profitable investments.


Image: Green Investment Bank to launch new £1bn fund for offshore wind. Photo: courtesy of satit_srihin/ FreeDigitalPhotos.net

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