Octopus secures GBP-150m pension mandate for renewables

Clean energy investor Octopus Renewables has won a GBP-150-million (USD 204.5m/EUR 176.7m) corporate pension mandate to invest in renewable energy infrastructure projects through a new fund.

The mandate was secured from an unspecified UK-based institutional investor, the Octopus Energy Group subsidiary said on Wednesday.

The proposed investments will be carried out through a new fund dubbed Renewable Energy Income Partnership IV (REIP IV). Its major goal will be to invest in various renewable energy assets, such as wind and solar, in the UK and Europe.

Octopus Renewables noted that it has secured the mandate at a time when interest from institutional investors and pension funds in renewable energy assets is growing. The milestone follows Octopus' recent engagement by pension scheme Nest to lead its plan of spending around GBP 250 million in renewable energy infrastructure projects in the UK and Europe, as well as a GBP-185-million mandate from National Grid UK Pension Scheme, which is pursuing solar and onshore wind investments in the UK.

“With predictable income, diversification and sustainable investment all at the forefront of institutional investors’ minds, renewable energy is an incredibly attractive asset class,” said Chris Hulatt, co-founder at Octopus Group.

Octopus Renewables currently manages more than GBP 3 billion worth of onshore wind, solar and biomass assets globally.

(GBP 1.0 = USD 1.363/EUR 1.178)

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