BlackRock to support renewables in emerging markets with US$250m capital raise

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
A 10MWp solar project in Uganda. Image: Building Energy.

BlackRock has secured more than US$250 million for a finance vehicle that will invest in renewables and energy storage projects in countries across Asia, Latin America and Africa.

The asset manager’s Climate Finance Partnership (CFP) will focus on areas such as grid-connected and/or distributed clean energy plants, energy efficiency, transmission or energy storage solutions and electrified transport.

Financial support has been provided by the governments of France, Germany and Japan, as well as the Grantham Environmental Trust and the Quadrivium Foundation. A broader institutional capital raise will include commitments from Dai-ichi Life Insurance, Standard Chartered and MUFG Bank.

“We are supporting this partnership because we believe that combining the strengths of the public and private sectors is necessary in order to align finance flows with low-carbon and climate-resilient development,” said Jochen Flasbarth, state secretary at the German environment ministry.

Unveiled early last year at the World Economic Forum, CFP is aiming to raise a total of US$500 million for climate-related investments in emerging markets.

BlackRock said that with energy demand in emerging markets poised to double by 2050, there is significant capital required for climate infrastructure, such as renewables generation, in these regions to help reduce carbon emissions.

In BloombergNEF’s most recent Climatescope study – which encompasses 108 developing countries and 29 developed nations – the research organisation said foreign direct investment in renewables in emerging markets set a new record at US$32 billion in 2019, up from a previous high of US$24 billion the year before.

Having fully acquired US commercial and industrial PV developer Distributed Solar Development last year, BlackRock has since raised US$4.8 billion from institutional investors to fund renewable power generation projects in Europe, Asia and the Americas.

6 October 2021
The future is bright for a new era of US solar and storage, and the 8th annual Solar & Storage Finance Summit will provide opportunities to discuss solutions to the industry’s challenges and provide a networking platform designed to bring together the top minds in the industry to do business. With a mix of high-level, informative presentations and panels, a stellar cast of speakers and audience members with deal-making capacity, the 2021 edition of the event will be a sell-out success.

Read Next

PV Tech Premium
August 4, 2021
The latest installment of PV Tech’s special feature on Europe’s solar renaissance rounds-up the rest of the continent’s key markets, examining the key drivers behind solar growth in Portugal, France and the UK, amongst others.
PV Tech Premium
August 3, 2021
This installment of PV Tech’s European solar special uncovers the emerging markets of Europe’s PV sector, including Poland, Denmark and Greece.
PV Tech Premium
August 2, 2021
In today’s installment of PV Tech’s ‘European solar under the spotlight’ feature, we assess the potential and key drivers behind Europe’s leading markets in Germany, Spain and the Netherlands.
PV Tech Premium
July 30, 2021
Not only will solar be the dominant source of new power generation in Europe by 2025, cementing its position as the third largest market for solar globally, but the continent has placed the asset class at the very heart of its COVID-19 recovery strategy. As part of a week-long special report on PV Tech Premium, Liam Stoker, Edith Hancock and Jules Scully explore the drivers for solar in Europe, the key markets and the challenges that remain.
July 29, 2021
US residential solar installer Sunnova said it was investing in its end-to-end solar services to cater for customers demanding more from their rooftop installations.
July 28, 2021
Enphase Energy shipped fewer microinverters in Q2 2021 than in the preceding quarter as supply constraints continued to bite, but the manufacturer still managed to boost revenue sequentially.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK