The Irish Government has teamed up with an investment banking firm to set up a fund that aims to invest €70 million (£57.2m) in energy-saving projects.
Sustainable Development Capital LLP (SDCL) will manage the National Energy Efficiency Fund – which has been launched today – and will support projects that help save energy and costs for both public and commercial sector firms.
The fund has raised an initial €35 million (£28.6m), with the Irish Government contributing €17.2 million (£14m) as well as a combination of private capital injection. It will generate returns based on cost savings.
Tesco Ireland has been chosen as the first company to bag an investment worth €2 million (£1.6m) for a retrofit programme.
The project will include replacing existing lighting with efficient LEDs across seven stores, which is expected to help the supermarket chain save more than €540,000 (£441,268) every year as well as create 16 new jobs.
Ireland’s Energy Minister Pat Rabbitte said: “Energy efficiency represents a huge opportunity to stimulate economic activity, employment and improve national competitiveness.
“Today’s announcement marks an important first step for the Fund, but more importantly says to businesses and public sector bodies – the Fund is open and ready to do business.”