NextEnergy Capital introduces ₤ 500m solar fund with support from UK Infrastructure Bank

• Investment manager NextEnergy Capital (NEC) has actually introduced a ₤ 500 million subsidy-free solar fund, with up to ₤ 250 million to find from the UK Infrastructure Bank (UKIB).

The fund, NextPower UK ESG, is set to be the largest subsidy-free solar mutual fund in the UK, according to NEC. Over the next years, it will certainly target investment in c. 1GW of generation from around 30 solar farms throughout the UK.

UKIB-- which was developed as part of the government's National Infrastructure Strategy in 2020 and launched in June 2021-- is providing financing for two significant subsidy-free solar farms in the UK, which create the fund's preliminary seed assets.

Following this it intends to spend approximately ₤ 250 million, fifty percent of the fund's target dimension, on a match-funding basis with the economic sector.

" As this is the very first bargain for the UK Infrastructure Bank to leverage economic sector investment, it is a vital milestone for us," stated John Flint, CEO of UKIB.

" I am delighted that the bank has the ability to contribute in the development of subsidy-free solar energy for the UK."

The first seed properties are constructed as well as operational sites in Llanwern in South Wales and also Strensham, Worcestershire, which have actually a combined ability of 115MW. The sites were energised by NEC in April.

" The launch of NextPower UK ESG marks a crucial milestone in combining capital from both the private and public market to money the next stage of development in the UK solar PV sector," claimed Michael Bonte-Friedheim, chief executive officer and founding partner of NEC.

" Unsubsidised new-build solar projects stand for an attractive investment opportunity, both in monetary investment returns as well as in the quest of social objectives such as dealing with environment change as well as improving biodiversity in the UK."