A new £200 million lending programme for community-scale renewable energy projects has been launched.
The UK Green Investment Bank (GIB) is partnering with global investment firm KKR – each providing £100 million – and investment manager Temporis Capital, which will manage the fund.
GIB got approval from the European Commission earlier this year to expand its investment mandate to include community-scale renewables, mainly small-scale hydro and onshore wind projects.
A project in Scotland is expected to be the first to benefit from the programme.
Shaun Kingsbury, Chief Executive of UK GIB said: “Small-scale projects can make a meaningful contribution to the UK’s green economy and I am pleased that we will be able to provide this funding to projects which might otherwise have been locked out of the market.”
The announcement marks KKR’s first investment in the UK renewable energy sector.