Climate Finance Roundup - January 17
UK funds maritime decarbonisation, fusion energy; EIB and Societe Generale to support wind manufacturers; Brazilian Development Bank funds ethanol production, reforestation, strategic minerals;
The UK and Europe:
£50 million Investment to Boost UK Electric Vehicle Production
£410 million UK Investment to Develop Fusion Energy
UK Announces £30 Million for Clean Maritime Decarbonization
Iberdrola to Double Clean Energy Investment in UK
EIB and Societe Generale unlock €8B for European wind energy
ECB Lowers Interest Rates, Confident Inflation Will Return to Target
EBA Consults on Guidelines for ESG Scenario Analysis
Polhem Infra's Investments in Renewable Energy and Sustainable Infrastructure
US & Canada:
Canada invests $117M in BC water infrastructure to combat climate change
Hidden Flood Risk Costs Homebuyers Thousands Due To Climate Change
BeZero Carbon raises US$32 million for carbon market expansion
CarbonCapture secures funding for DAC hub development
Montana Renewables Secures $1.44B for Renewable Fuel Expansion
Origis Energy Secures $1 Billion Investment for US Renewable Energy Growth
Origis Energy Secures $415M for Texas Solar Project
DOE Funding for Small Business Clean Energy R&D
Asia & Latin America:
ESR and CloudHQ to build $2B net-zero data center campus in Japan
BNDES Funds CMAA's Ethanol, Energy Expansion and Industrial Modernization
BNDES and Finep to invest R$5 billion in strategic minerals transformation
BNDES & Heineken: R$10 Million Caatinga Reforestation in Ceará
The UK and Europe
£50 million Investment to Boost UK Electric Vehicle Production
(January 16)
UK-based Nissan and JATCO secured a £50 million investment to build a new electric vehicle powertrain plant in Sunderland, creating 183 jobs and supporting 400 more in the supply chain. The plant will produce 340,000 electric powertrains annually from 2026.
£410 million UK Investment to Develop Fusion Energy
(January 16)
The UK government has invested £410 million in fusion energy research and development from 2025-2026. This funding supports the development of a prototype fusion energy plant in Nottinghamshire by 2040, creating jobs and advancing the commercialization of fusion energy.
UK Announces £30 Million for Clean Maritime Decarbonization
(January 16)
The UK has announced £30 million in decarbonisation funding for coastal communities and businesses through the Clean Maritime Demonstration Competition (CMDC6). The funding will support clean maritime technologies and has already seen over £100 million in private investment. One flagship project, GT Wings’ AirWing™, in Hull will reduce vessel emissions by up to 30%.
Iberdrola to Double Clean Energy Investment in UK
(January 16)
Iberdrola has announced that it will double its investment in the UK over the next four years to reach up to £24 billion. This is driven by shared ambitions in industrial development and green jobs, and reflects confidence in UK policies and regulations. The company has already invested over £30 billion in the UK since 2007 and employs over 6,000 UK staff.
EIB and Societe Generale unlock €8B for European wind energy
(January 15)
The European Investment Bank (EIB) and Societe Generale agreed on a €500 million initiative to unlock €8 billion in investment for wind energy manufacturers in Europe. The EIB’s counter-guarantee will support new wind farm projects, supply chains, and grid interconnections. This is part of the EIB’s €5 billion wind power package to boost Europe’s wind power manufacturing sector and accelerate the green energy transition, backed by the EU’s InvestEU program.
ECB Lowers Interest Rates, Confident Inflation Will Return to Target
(January 16)
The European Central Bank (ECB) lowered its three key interest rates by 25 basis points in December 2024, reflecting a confidence that inflation would return to the 2% target in the first half of 2025. The decision considered the disinflation process, underlying inflation dynamics, and monetary policy transmission. The ECB also noted the impact of the expanded EU Emissions Trading System (ETS) on inflation projections for 2027.
EBA Consults on Guidelines for ESG Scenario Analysis
(January 16)
The European Banking Authority (EBA) launched a public consultation on draft Guidelines on Environmental, Social and Governance (ESG) scenario analysis. These guidelines set expectations for institutions incorporating scenario analysis into their management framework to assess resilience to ESG factors, complementing the EBA Guidelines on managing ESG risks. The consultation runs until April 16, 2025.
Polhem Infra's Investments in Renewable Energy and Sustainable Infrastructure
(January 16)
Polhem Infra, a Swedish sustainable infrastructure investor, has submitted an offer for a 49% stake in Pori Energia Oy, a Finnish municipal utility. Additionally, Polhem Infra and Prime Capital are partnering to invest in the 265 MW Lynx wind farm in Lycksele, Sweden. Polhem Infra is also developing solar power projects with the Church of Sweden.
USA and Canada
Canada invests $117M in BC water infrastructure to combat climate change
(January 16)
The Canadian government invested $117,179,667 in a water infrastructure project on British Columbia’s Sunshine Coast, led by the shíshálh Nation in partnership with the Sunshine Coast Regional District and Heidelberg Materials. The project includes upgrading a water treatment plant and building two reservoirs to improve water security during droughts, exacerbated by climate change.
Hidden Flood Risk Costs Homebuyers Thousands Due To Climate Change
(January 16)
A new study by Milliman found that homebuyers in 25 US states can incur over $55,000 in flood damages over 30 years if they buy a previously flooded home. The NRDC highlights the lack of strong flood disclosure laws in many states, leaving buyers unaware of flood risks. Climate change is expected to worsen flooding, increasing these costs. The study used data from the National Flood Insurance Program and KatRisk models.
Natural Resources Defense Council
BeZero Carbon raises US$32 million for carbon market expansion
(January 16)
UK-based BeZero Carbon, a global carbon ratings agency, secured a US$32 million Series C funding round led by GenZero, with participation from Japan Airlines and Translink Innovation Fund. The funds will expand BeZero’s ratings coverage of domestic and sovereign compliance markets, including CORSIA, and invest in automation and its team of climate and data scientists.
CarbonCapture secures funding for DAC hub development
(January 15)
US-based CarbonCapture Inc. has received funding from various sources to develop Direct Air Capture (DAC) hubs. Arizona State University (ASU) received $11.2 million from the Department of Energy (DOE) to develop a DAC hub featuring CarbonCapture’s technology. Additionally, CarbonCapture secured $12.5 million in DOE funding for a regional DAC hub in Wyoming, and received an initial award as part of DOE's Carbon Dioxide Removal Purchase Pilot Prize program. Amazon’s Climate Pledge Fund also invested in CarbonCapture.
Montana Renewables Secures $1.44B for Renewable Fuel Expansion
(January 15)
US-based Calumet, Inc. announced the closing of a $1.44 billion loan facility with the U.S. Department of Energy to expand Montana Renewables’ renewable fuels facility. The expansion will increase SAF production capacity to 300 million gallons annually and create 450 construction jobs and up to 40 operations jobs.
Origis Energy Secures $1 Billion Investment for US Renewable Energy Growth
(January 15)
US-based Origis Energy, a leading renewable energy platform, secured a strategic investment exceeding $1 billion from Brookfield Asset Management and Antin Infrastructure Partners. This investment will accelerate Origis Energy’s growth in solar and battery storage projects, supporting the increasing demand for clean electricity.
Origis Energy Secures $415M for Texas Solar Project
(January 09)
US-based Origis Energy closed a $415 million funding package for the Swift Air Solar project in Texas. Natixis CIB provided $290 million in construction and term debt financing, while Advantage Capital contributed $125 million in tax equity. The solar project will power Occidental's Direct Air Capture facility.
DOE Funding for Small Business Clean Energy R&D
(January 07)
The U.S. Department of Energy (DOE) opened new funding for small businesses to develop innovative clean energy technologies through its Small Business Innovation Research and Small Business Technology Transfer (SBIR/STTR) programs. Up to $200,000 is available in Phase I, and up to $1 million in Phase II. The Hydrogen and Fuel Cell Technologies Office is seeking proposals on various hydrogen and fuel cell topics. Letters of intent are due January 14, 2025.
Asia and Latin America
ESR and CloudHQ to build $2B net-zero data center campus in Japan
(January 16)
Japan-based ESR Group Limited and CloudHQ have partnered to build a $2 billion data center campus in Osaka. The campus will deliver 130 megawatts of data center capacity and is targeting net zero emissions by 2040, with an interim goal of 75% renewable energy by 2030.
BNDES Funds CMAA's Ethanol, Energy Expansion and Industrial Modernization
(January 14)
The Brazilian Development Bank (BNDES) approved a R$ 480 million financing package for Companhia Mineira de Açúcar e Álcool (CMAA). R$ 220 million from the Fundo Clima will boost ethanol and biomass energy production. An additional R$ 260 million from BNDES Máquinas e Serviços will modernize industrial units and agricultural machinery.
BNDES and Finep to invest R$5 billion in strategic minerals transformation
(January 07)
Brazil's BNDES and Finep will invest R$ 5 billion (approximately US$970 million) in projects focused on transforming strategic minerals. This initiative aims to develop sustainable strategic material chains, supporting the energy transition and decarbonization through investments in production capacity and research and development.
BNDES & Heineken: R$10 Million Caatinga Reforestation in Ceará
(January 07)
Brazil's BNDES and Heineken partnered to invest R$ 10 million (approx. US$ 2 million) in reforestation of 340 hectares of Caatinga in Ceará, Brazil. The project focuses on water recharge and strengthening the Rio Pacoti Ecological Corridor.
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