Government launches green investment bank

29th November 2012

Related Topics

Related tags

  • Business & Industry ,
  • Recycling ,
  • Disposal ,
  • Waste ,
  • Management/saving



A retrofit project to improve the energy efficiency of a north Wales factory has been named as one of the first developments to secure funding from the green investment bank

Insulation maker Kingspan has been awarded £5 million to install energy-saving measures, including building management systems and more efficient lighting, at its Holywell plant.

The project aims to reduce electricity consumption at the site by up to 15% and is the first to secure a portion of the bank’s £100 million non-domestic energy efficiency investment programme.

The bank, which is the first of its kind in the world, will invest up to £3 billion of government funding over the coming years in projects with the goal of improving waste and recycling infrastructure, boosting energy efficiency and increasing low-carbon energy supplies. The government aims to leverage private sector capital, with the goal of making an extra £18 billion of public and private sector investment available by 2015.

“The green investment bank is now a reality. It will place the green economy at the heart of our recovery and position the UK in the forefront of the drive to develop clean energy,” said business secretary Vince Cable, launching the bank in Edinburgh.

The newly appointed chair of the bank Lord Smith said: “The green investment bank has the potential to be a game-changing component of the UK's low-carbon economy, and a profitable centre of excellence in specialist and renewable investment.

“I am confident that our excellent team will put its many years of expertise to work on building the foundations of that sustainable economy, and facilitating the important investments that will ensure its long-term good health.”

Cable confirmed that the bank had also made its first investment to a green energy project, providing a project to build six anaerobic digestion plants in the North East of England with £8 million of financial assistance.

Industry bodies, including the Renewable Energy Association (REA) and the manufacturers’ association, the EEF, broadly welcomed the opening of the bank.

“We are pleased that one of the first investments is a bioenergy project,” commented the REA’s chief executive Gaynor Hartnell. “We hope that biomass and waste-to-energy – as well as offshore wind – will form a significant component of the bank’s activity. It is important to get as much leverage as possible from the initial £3 billion and investment in a diverse portfolio of renewable technologies will be helpful.”

Meanwhile, the EEF’s head of business environment Roger Salomone said: “Shifting to a low-carbon economy will require significant and sustained investment. The challenge now is to start getting funding out more quickly to projects that will both cut emissions and generate jobs.”

At the same time, the Environmental Services Association (ESA) argued that investment in sustainable waste projects could also be stimulated by more green taxes.

In a new report, the ESA argues that the government is relying too heavily on landfill tax and, ahead of the autumn statement next week, calls for a new package of green taxes and incentives that will encourage firms to invest in projects at the top end of the waste hierarchy.

“Landfill tax revenues may fall quickly in the coming years, making deficit reduction harder. At the same time, the environmental benefits of the tax will diminish as the focus moves further up the waste hierarchy. And the lack of clarity over the future of the tax post-2014 has created business uncertainty,” said Matthew Farrow the ESA’s director of policy.

“Extending the landfill tax escalator beyond 2014 is the wrong option. Instead, we need some new thinking about how to promote investment further up the waste hierarchy. We propose a package of fiscal incentives and new taxes to do this.”

Transform articles

Water companies fail to hit environmental targets

None of England’s water and sewerage companies achieved all environmental expectations for the period 2015 to 2020, the Environment Agency has revealed. These targets included the reduction of total pollution incidents by at least one-third compared with 2012, and for incident self-reporting to be at least 75%.

30th July 2021

Read more

The UK’s pipeline for renewable energy projects could mitigate 90% of job losses caused by COVID-19 and help deliver the government’s ‘levelling up’ agenda. That is according to a recent report from consultancy EY-Parthenon, which outlines how the UK’s £108bn “visible pipeline” of investible renewable energy projects could create 625,000 jobs.

30th July 2021

Read more

Billions of people worldwide have been unable to access safe drinking water and sanitation in their homes during the COVID-19 pandemic, according to a progress report from the World Health Organisation focusing on the UN’s sixth Sustainable Development Goal (SDG 6) – to “ensure availability and sustainable management of water and sanitation for all by 2030”.

30th July 2021

Read more

The oil and gas industry is set to burn through its allocated carbon budget 13 years early unless decisive action is taken immediately, new analysis has found.

22nd July 2021

Read more

The UK will no longer use unabated coal to generate electricity from October 2024, one year earlier than originally planned, the Department for Business, Energy & Industrial Strategy has announced.

2nd July 2021

Read more

The UK government is not on track to deliver on its promise to improve the environment within a generation and is failing to stem the tide of biodiversity loss, a damning new report from MPs has revealed.

1st July 2021

Read more

Renewable energy will account for nearly 40% of the world's power mix by the end of this decade, overtaking coal within the next few years, according to research by GlobalData.

24th June 2021

Read more

The UK's solar energy capacity must treble over the next decade for the country to achieve net-zero emissions by 2050, but is only set to double under a business-as-usual scenario.

18th June 2021

Read more

The Taskforce on Nature-related Financial Disclosures (TNFD) has today been launched to support financial institutions and corporates in assessing and managing emerging risks and opportunities as the world looks to reverse biodiversity loss.

4th June 2021

Read more

Media enquires

Looking for an expert to speak at an event or comment on an item in the news?

Find an expert