Schroders Greencoat announced on [Date] that it has secured commitments totalling £330m earmarked for long-term investments in renewable infrastructure and energy transition assets in the south west of England. These funds come primarily from six Local Government Pension Schemes part of the Brunel Pension Partnership.
Schroders Greencoat has set its sights on a diverse portfolio of renewable energy technologies, which span traditional areas like solar and wind, and extend to cutting-edge sectors like battery storage and green hydrogen production.
Matt Ridley, partner at Schroders Greencoat, mentioned, “Investing in renewable generation assets across Brunel's constituent counties generates resilient cashflows for underlying investors, and clean energy where their pension beneficiaries work and live. Schroders Capital has the scale and pipeline to replicate this model across the country, with investment opportunities across a range of technologies and scales.”
This investment strategy is expected to significantly influence the south west region, creating jobs and funnelling clean energy into the national grid. The focus counties for these investments include Dorset, Somerset, Avon, Cornwall, Devon, Wiltshire, Oxfordshire, Buckinghamshire, and Gloucestershire.
Schroders highlighted that this is the most substantial commitment by UK local government pensions towards locally-centric renewable energy infrastructure.
In line with the UK's ambition for net zero and energy security, these investments also aim to help the Local Government Schemes reach their individual net zero targets and environmental objectives.
Schroders Greencoat's current managed assets in the UK stand at a capacity of 2.8GW, offsetting over 2.6 million tonnes of carbon emissions every year. This announcement follows the 2022 launch of the Greencoat Cornwall Gardens LP, another initiative targeting renewable assets in Cornwall.
The enduring partnership between Schroders Greencoat and Brunel, dating back to 2019, underscores their shared vision for sustainable energy solutions. Ridley added, “We're very pleased to be working with Brunel and its partners again – our close relationship with them is key to making initiatives like this one possible”.
