November 15 (Renewables Now) - UK Climate Investments (UKCI), managed by Macquarie Group Ltd (ASX:MQG), and Norfund today said they are investing in a South African joint venture to help it fund its 40% equity investment in a 700-MW portfolio of onshore wind farms in South Africa.

Italy’s Enel Green Power will keep a 60% stake in the portfolio.

The joint venture that will help develop the portfolio is made up of H1 Holdings, a South African black-owned and managed company, and Pele Green Energy, a South African independent power producer (IPP). According to the announcement, they are investing in one of the country’s largest renewable energy equity deals valued at some USD 100 million (EUR 87.4m).

UK Climate Investments, is part of the UK’s aid funded International Climate Finance, while Norfund is the Norwegian Investment Fund for developing countries.

British High Commissioner to South Africa Antony Phillipson said the financing will support the expansion of renewables in South Africa and boost local ownership in the sector. “It is vital that we maximise the potential of renewable energy as South Africa looks to tackle its current energy deficit and deliver their ambitious Nationally Determined Contribution (NDC) with its targets for emissions reductions by 2030,” he added.

(USD 1 = EUR 0.874)

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