Schroders Greencoat, a specialist in renewables and energy transition infrastructure under Schroders Capital, announced today a substantial commitment of £170m from the Environment Agency Pension Fund (EAPF) into its flagship UK private markets fund.
Greencoat Renewable Income LP (GRI) stands as the largest secure income fund in the UK, focusing on investments that generate stable, inflation-protected income from UK renewable infrastructure assets over the long term, according to ESG News.
These assets include wind, solar, bioenergy, and other energy transition infrastructure such as heat pumps and green hydrogen electrolysis.
With a track record of deploying over £1bn into more than 165 assets across the UK, GRI’s recent investments include stakes in significant projects like solar portfolios, district heating platforms, hydrogen infrastructure, and offshore wind farms.
The commitment from EAPF boosts GRI’s total to £1.35bn, with the fund set to close in December 2024.
This investment reflects the dedication of Local Government Pension Schemes (LGPS) like EAPF to impact-focused investments in UK renewable infrastructure, aligning with their climate targets, net-zero strategies, and the UK Government’s levelling up goals.
Tatiana Zervos, Portfolio Manager at Schroders Greencoat, commented, “Renewable infrastructure assets are the backbone of the energy transition and, as the largest asset manager of operational wind and solar assets in the UK, Schroders Greencoat is able to offer its clients direct access to these opportunities with long-term reliable, inflation-linked cashflows via a diversified strategy.
“Our track record means we are a trusted partner for influential investors such as the EAPF and we’re delighted to build on our relationship with Brunel which dates back to the fund’s inception in 2019.”
Craig Martin, Chief Pensions Officer of the Environment Agency Pension Fund, added, “Driving the UK transition to a low carbon economy in partnership with Brunel, Schroders Greencoat and the GRI fund was a natural fit for EAPF. We have a long-standing target of achieving 17% AUM in climate solutions by 2025. This investment will help us achieve this, and support the UK’s levelling up agenda. We look forward to working with the team and our Brunel partner investors to scale UK renewables.”
Keep up with all the latest FinTech news here
Copyright © 2024 FinTech Global
