The Hague, Netherlands
Coinciding with COP24, where the world’s nations are gathered to discuss an international response to global climate change, Climate Fund Managers announces the Fourth Close of Climate Investor One (CI1) at USD 555 million with the inclusion of FinDev Canada as the latest investor in CI1’s Construction Equity Fund.
Through its investment of USD 20 million, FinDev Canada becomes the first Canadian institution to make a commitment to the Fund. The transaction aligns with FinDev Canada’s mandate of action against climate change, at a time when urgent, decisive and combined measures are needed from global actors.
Climate Fund Managers, the manager of the CI1 facility, shares a purpose of climate change mitigation, and adaptation, gender equality and job creation, all important components of the Sustainable Development Goals.
CI1 is expected to finance approximately 20 renewable energy projects over its lifetime. The facility has a mandate to invest in solar, wind and run-of-river hydro technologies targeted across Africa, Asia and Latin America, and in so doing deliver an estimated 1,100MW of additional clean energy capacity. CI1’s Construction Equity Fund has made its first investment, a 100MW pan-Asia corporate & industrial (C&I) rooftop solar platform with a strategy to expand to 450MW over the coming years.
“FinDev Canada and Climate Investor One are responding to the urgent call for a more sustainable economy by funding new sources of renewable energy,” said Paul Lamontagne, Managing Director of FinDev Canada. “The latest reports are clear: global temperature is on the rise and we must act now. Quoting one of the studies, ‘the scale and pace of current action remains insufficient’ and we are determined to have a positive impact by supporting a faster transition to sustainable sources of energy.”
On this milestone, Mr. Andrew Johnstone CEO of Climate Fund Managers, said:
“Climate Investor One is a serious response to the threat of climate change. Using new blended finance structures and investment approaches, Climate Investor One brings together like minded and climate committed investors to make a difference. We are very pleased to welcome FinDev Canada to the Climate Investor One community, and expand this vital mobilization of capital to parties on both sides of the Atlantic Ocean.”
With the presence and support of FinDev Canada, Climate Fund Managers seek to demonstrate to other Canadian institutions the potential of high-growth markets across Africa, Asia and Latin America, as well as the importance of channeling institutional capital into sustainable, climate-focused investments.
About FinDev Canada
The Development Finance Institute Canada Inc., operating under the FinDev Canada brand, is a Canadian institution dedicated to providing financial services to the private sector in developing countries with the aim of combating poverty through economic growth by focusing on three main themes: economic development through job creation, women economic empowerment, and climate change mitigation. The Development Finance Institute Canada Inc. is a wholly owned subsidiary of Export Development Canada (EDC).
About Climate Investor One
CI1 was launched in partnership between Dutch Development Bank, FMO, and Sanlam InfraWorks – part of the Sanlam Group, of South Africa. CI1, managed by Climate Fund Managers comprises three separate, but operationally interlinked funds: the Development Fund, the Construction Equity Fund and the Refinancing Fund, each tailored to finance a stage in the renewable energy project’s lifecycle: development, construction and operations.
CI1 also enjoys support from the EU through its External Investment Plan as part of its wider commitment to sustainable development and climate change mitigation, as well as cornerstone support from the Ministry of Foreign Affairs of the Netherlands and Nordic Development Fund (NDF) and USAID (Power Africa).