The Green Investment Bank (GIB) has claimed to be “the most active investor in the UK’s green economy” after committing £668m to green projects in 2013-14.
In a press release ahead of the publication of its annual report on 25 June, the bank has listed some of its achievements in the 12 months to March 2014.
- funding of 18 new projects
- bringing the bank’s total commitment to £1.3bn
- mobilising £1.9bn of private money
Chair Lord Smith of Kelvin said: “We have emerged from our start-up phase as the most active investor in the UK’s green economy. 2013-14 was a good year for GIB in a difficult market.”
Chief executive Shaun Kingsbury said the bank was providing a “positive demonstration effect” and it was planning to extend its reach into new markets, for example “community-scale renewables”.
However, the GIB reported operating losses of £5.7m for the year, as most of its investments, 88% by value, are still in construction.
Once built, the GIB’s existing portfolio, which includes 11 waste facilities, will avoid some 1.3m tonnes of waste going to landfill, the bank said.
It also announced it plans to raise £1bn in a new fund dedicated to offshore wind. The fund will be managed by a GIB subsidiary, which is in the process of obtaining permission from the Financial Conduct Authority to become a regulated fund manager.
The GIB described the launch of the fund as a “significant strategic development” as it widens its activities and allows the bank to raise and deploy private sector capital in addition to the £3.8bn of equity funding it has received from the UK Government.
- Read our Big Interview with Chris Holmes, the GIB’s managing director of waste and bioenergy.