National Grid UK Pension Scheme (NGUKPS) is investing £185m in a new fund to be managed by Octopus Renewables that will target solar and onshore wind projects the UK.
The fund, named Renewable Energy Income Partnership 3 (REIP 3), is the third fund in Octopus Renewables’ institutional investor income partnership strategy.
Octopus said it has discretion in managing the 25-year mandate, which benefits from its pipeline of opportunities and origination capability.
Octopus Renewables co-head Alex Brierley said: “We are delighted to embark on this long-term partnership with the National Grid UK Pension Scheme.
“With predictable income, diversification and sustainable investment all at the forefront of institutional investors’ minds, this commitment by NGUKPS shows that our Renewable Energy Income Partnership series continues to provide an attractive solution for investors.”
Octopus co-Head of institutional funds Deniz Sevincer said: “We recognise that each institutional fund mandate is unique.
“Our scale, experience and origination capability puts us in the unrivalled position to provide the flexibility needed to create a bespoke offering that matches the National Grid UK Pension Scheme’s objectives.”
NGUKPS’s Kilian Thevissen and Pravi Prakash said: “We are pleased to have onboarded Octopus and look forward to working together on this important asset class.”