The European Investment Bank is providing €84m for a renewable energy fund established by Irish developer NTR.
The NTR Renewable Energy Income Fund 2 is expected to deploy €500m equity and €700m debt finance for wind, solar and energy storage investments across Europe.
EIB said it is the first time the bank has backed investment through an Irish collective asset-management vehicle – a new kind of fund structure developed in Ireland.
EIB vice president Andrew McDowell said: “As world climate leaders meeting in Poland to discuss implementation of the Paris Agreement, the new €84m support for renewable energy projects across Europe by NTR demonstrates the EU bank’s firm commitment to accelerating investment crucial for tackling climate change.
“Scaling up investment by harnessing support of institutional investment is crucial for global ambitions to accelerate climate action.”
NTR chief executive Rosheen McGuckian said: “NTR’s new cooperation with the European Investment Bank reflects our shared goal of ensuring long-term investment in renewable energy projects essential for achieving Europe’s climate commitments. We welcome the €84m backing from the EIB and look forward to working together in the years ahead.”
The announcement came at an EIB investment conference at the Central Bank of Ireland attended by Irish ministers, EIB president Werner Hoyer and more than 200 business, finance and government representatives.
Irish Minister for Communications, Climate Action and the Environment Richard Bruton said: “We want to make Ireland a leader in responding to climate change. Being a leader means acting now, stretching ourselves and seizing the enterprise opportunities in a low carbon economy.
“Being a follower means the final costs of adjustment are much higher and opportunities much lower or completely lost.
“Harnessing clean energy is essential to this ambition and stimulating private sector funding of renewable energy projects can help drive down consumer costs and increase the pace and scale of transition to low carbon technologies.
“I welcome the EIB’s €84m support for Irish fund NTR’s ambitious goal of backing renewable energy projects across Ireland and elsewhere in Europe in the years ahead.
“This new commitment reflects the European Investment Bank’s strengthened engagement to support transformational investment in cooperation with Irish partners.”