Virgin Money has finalized a substantial £14 million deal to provide financial support to Ripple Energy in the development of a 19MW wind farm in Ayrshire, Scotland. This project represents a joint ownership between Virgin Money, Ripple Energy, and various small businesses participating through a co-operative arrangement.
The agreement aims to facilitate the construction and operation of eight turbines at the Kirk Hill Wind Farm, located near Girvan. It is anticipated that the wind farm will be fully commissioned and operational by the first quarter of 2024.
While Virgin Money has already been involved in supporting renewable technologies throughout the United Kingdom, this latest loan adds an additional sustainability dimension to its portfolio. Ripple Energy, on the other hand, has pioneered a co-operative business model for renewable energy deployment. This unique model allows households and businesses to collectively own a share of large-scale wind farms, enabling them to access low-cost green energy supplied through the grid.
The forthcoming wind farm in Ayrshire will be partially owned by more than 5,600 local households and others from across Great Britain. Additionally, 19 small and medium-sized enterprises (SMEs) and commercial property investor and developer Bruntwood have acquired a 42.2% stake in the project. Rather than receiving dividends as a return on their investment, these environmentally-conscious stakeholders will benefit from a stable power supply, thus contributing to a greener future.
The agreed financial package of £14 million cements Virgin Money's total investment in energy and environmental financing at nearly £250 million. This significant commitment underscores the bank's dedication to supporting sustainable initiatives within the sector.
Expressing her satisfaction, Sarah Merrick, the Founder and CEO of Ripple Energy, stated, “We are extremely pleased that Virgin Money took a proactive approach to Ripple. With their support, alongside our members, we are driving a momentous shift towards consumer ownership in the energy market. Our aim is for these pioneering projects to serve as a blueprint for consumer-owned wind farms and solar parks worldwide. We aspire to create a wave of green energy ownership that empowers individuals to make a tangible climate impact while also stabilizing their energy costs.”
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The collaboration between Virgin Money and Ripple Energy marks a significant step forward in promoting renewable energy and empowering consumers to actively participate in the transition towards a greener and more sustainable future. By leveraging this innovative co-operative model, the wind farm in Ayrshire is expected to make a substantial contribution to the region's clean energy supply, while offering individuals and businesses an opportunity to directly contribute to combating climate change and reducing their carbon footprint.
