Clean Investor, October 25: PGGM, Triodos in offshore wind tranmission sale

RI’s regular round-up of clean investing news

Dutch pension PGGM and the Ampère Equity Fund managed by Triodos Investment Management have – alongside Dong Energy and Scottish and Southern Energy – sold the transmission assets of the offshore wind farm Walney 1 offshore wind farm. It has been sold to a consortium of Macquarie Capital Group Ltd. and Barclays Integrated Infrastructure Fund for around £105m to meet regulations requiring offshore to divest transmission assets to new offshore transmission owners, Dong said.
The United Nations Environment Programme and the World Resources Institute have published a study showing that the world’s aggregate level of effort on climate change mitigation is not in line with the science and existing country commitments are insufficient. Building the Climate Change Regime: Survey and Analysis of Approaches reviews more than 130 proposals put forward by governments, NGOs, and academics to design a climate regime capable of delivering adequate mitigation action.

The California Air Resources Board has adopted a carbon cap-and-trade regulation whereby power companies and factories will be able to trade a gradually decreasing number of permits to emit greenhouse gases. “It sends the right policy signal to the market, and guarantees that California will continue to attract the lion’s share of investment in clean technology,” said ARB Chairman Mary Nichols.

The African Clean Technology Association has been launched. It will be a networking group for decision makers in the industry and will be headed by Suza Adam. Link

AXA Private Equity’s wholly owned wind farm operator Kallista has bought Poweo’s operational French wind farms from Austrian electricity company Verbund for an undisclosed sum. The deal means Kallista is now the leading non-integrated wind energy producer in France.

Forest offsets should be ended, according to a group of six European NGOs. An end to forest offsets! Why forests should not be part of the carbon market report has been produced by Amis de la Terre (France), Arbeitsgemeinschaft Regenwald und Artenschutz (Germany), Euronatura (Portugal), Norges Naturvernforbund (Norway), Rainforest Foundation UK and FERN (Belgium). Link*PensionDanmark*, the €14bn Danish labour market pension fund, will significantly boost wind farm investment in the country via a DKK10bn ($1.8bn) funding mechanism where foreign enterprises can obtain loans to place orders with Danish companies. The loans made by the fund are backed by EKF, Denmark’s export credit agency. Both said wind farms would account for a major part of the loan projects. A first deal, worth $360m, is in place in which PensionDanmark will contribute $180m with funds also coming from DnB NOR and SEB, for financing of Arise Windpower and Platina Partners to build a wind farm in Jädraås in Sweden with Vestas as the Danish supplier of 66 wind turbines.

CDC Climat Asset Management, the carbon asset management company 75%-owned by the CDC Climat arm of French state investor Caisse des Dépôts, has received from the French Financial Markets Authority AMF. The division already manages €90m of carbon assets for CDC Climat and French development agency AFD.
The draft design of the United Nations’ Green Climate Fund has been finalised according to a statement from UN Framework Convention on Climate Change (UNFCCC) Executive Secretary Christiana Figueres quoted by Reuters. The fund is planned to help developing countries tackle climate change. There’s “a strong signal to engage the private sector” Figueres was quoted adding.

Asset finance of utility-scale renewable energy projects such as wind farms and solar parks jumped to a record $41.8bn in the third quarter of 2011, according to Bloomberg New Energy Finance. It recorded a surge in wind farm and solar park financings, as well as in merger and acquisition activity, despite the unfolding European financial crisis and a slump in clean energy share prices. Offshore wind had a particularly strong quarter with investment secured for three large offshore wind farms in the North Sea, totaling more than 1GW in capacity and $6.3bn in investment. There were also big financings for photovoltaic, solar thermal and biofuel projects in the US, for a geothermal installation in Indonesia, and for onshore wind projects in Brazil and China.

Mission Markets, the operator of an impact investment platform, is to hold a webinar on October 27 on renewable energy and clean technology investment opportunities. It will feature hydropower firm Hydrovolts and building products firm Noble Environmental Technologies. Link