L&G backs €250m wind fund for NTR
Irish energy group NTR expects the bulk of the 270 megawatts of wind assets it is aiming to develop through a new investment fund will be constructed by the end of 2017.
The fund target is €250m and will be used to build up to 270MW of projects in the UK and Ireland.
Legal & General will fund up to 47.5% of fund while NTR will contribute €50m. The two aim to grow the fund to create a platform for institutional investors with an interest in the clean energy sector.
Legal & General said that its clean energy investment strategy will focus on wind and solar in the short term as technology means investing at scale allows for lowering prices for the end consumer.
The move into renewable energy is part of a larger strategy which will see the company target spending of £15bn on UK infrastructure focusing on housing and urban regeneration, transport and clean energy.
Legal & General director Laura Mason, said: “Legal & General’s investment in the UK’s energy infrastructure focuses on wind and solar power. It is clean, green and in the future it will be cheap. Investment into new energy technology will deliver massive leaps in renewables capacity, and drive down the household bills of renewable energy for customers.”
Legal & General head of clean energy John Bromley said: “By using its balance sheet capital to pave the way for large scale, long term institutional investment, Legal & General is channelling its investment might into helping revolutionise these technologies for the benefit of investors, consumers, and wider society.”
NTR has already acquired the first four assets for the fund, valued at €62m and providing a combined capacity of 55MW. The assets are in Scotland, Northern Ireland and the Republic of Ireland. These are ready for construction with land, planning consent and grid connection agreements all in place.
NTR chief executive Rosheen McGuckian, added: “We have a rapidly growing pipeline of construction ready onshore wind assets and we are delighted that Legal & General have both committed to this, our first wind fund to include other investors, and to working with us on additional clean energy investment opportunities.”
