Clean Energy | September 7, 2022

Copenhagen Infrastructure Partners raises €3 billion for energy transition fund

Roodgally Senatus
ImpactAlpha Editor

Roodgally Senatus

ImpactAlpha, September 7 — The Danish fund received commitments from 65 institutional investors, including global pension and sovereign wealth funds, insurance companies, asset managers and family offices in Europe and North America.

The $3 billion fund will invest in clean energy infrastructure projects, mainly industrial-scale ‘Power-to-X’ projects, an umbrella term for power-to-gas, power-to-liquid, power-to-fuel, power-to-chemicals and power-to-heat energy generation.

“Power-to-X will be key for countries and industries to take the next big leap within reaching the commitments of the Paris Agreement and achieving energy independence,” said CIP’s Jakob Baruël Poulsen.

Low-carbon transition

The fund aims to help decarbonize hard-to-abate industries, such as aviation, chemical manufacturing, steel and shipping. It will also target agriculture via zero-carbon fertilizers. The fund has invested in projects in Western Europe, South America and Australia that are working to produce green hydrogen, ammonia and aviation fuel.

Once operational, the projects are expected to deliver more than 4.4 million tons of green fuel per year and reduce carbon dioxide emissions by more than 8.3 million tons annually.