Energy Transition Infrastructure
The energy transition will only take place if the necessary infrastructure exists to support it.
Mirova develops investment strategies enabling investors to support the energy transition through the construction and management of renewable energy production, storage and clean mobility infrastructures projects in Europe.
Investing to support the European energy transition
Our objective is to provide institutional clients with long-term value creation opportunities while supporting the sustainability of local economic, community and environmental development.
Since 2002, Mirova has been involved in the energy transition by financing new renewable energy production capacities and by investing in operating projects using mature technologies (photovoltaic solar, wind, hydroelectric).
Thanks to its in-depth knowledge of the French and European renewable energy market and an extensive network of partners, Mirova has constructed a strong investment platform dedicated to the energy transition, whose scope of intervention extends to the energy transition as a whole: storage, biogas, hydropower, hydrogen and electric mobility, all over Europe.
assets under management
of energy transition infrastructure funds
of experience in structuring and managing energy transition funds
energy transition projects financed across 10 countries in Europe
of clean energy installed capacity financed
Why invest in energy transition infrastructure?
Renewable energy is one of the fastest growing segments within the infrastructure market and clean energy production, grid connection, storage and electric transportation represent a compelling investment opportunity in the move towards a low-carbon economy.
A transition in motion
- An increase of the share of renewable energy in energy consumption in the European Union: from 9,6% in 2004 to c. 20% in 2020.
- The European target is 32% by 20301. In order to achieve this goal, massive investments are required, €1.7 trillion2 over the next 10 years.
- It also represents an opportunity for institutional investors to play a role in the fight against climate change.
An evolving industry
In terms of competitiveness: the ever-falling clean energy production cost puts renewables at parity with conventional generation sources.
In terms of innovation: growing number of solutions to the energy transmission, distribution and storage challenges enable integration of existing and emerging renewable technologies in energy systems.
In terms of financing: mature renewable energy technologies allow a sound cash flow predictability.
A robust investment theme
- A way to diversify a portfolio: long-term investments in tangible assets with relatively steady, low volatile, inflation-linked cash flows and low correlation to the business and capital market cycles.
- Attractive yield potential
A wide range of investment opportunities
Involved from the very beginning in the financing of renewable-sourced energy production infrastructures, Mirova has a unique perspective on this market, contributing to projects that are new, whether in terms of technology, maturity or geography.
A team of 20 experts dedicated to financing energy transition infrastructures
Drawing on complementary skills from a broad array of disciplines (industrial project development, M&A, transactions services, carbon market, public policy…), the team brings know-how and experience to bear on the financing and management of complex renewable energy projects.
An award-winning infrastructure manager
A key European investor in the field of energy transition infrastructures, Mirova is regularly rewarded3 for the quality work of its teams.
2019 "European Energy Investor of the year", Infrastructure Investor
2018 Winner of the "Infrastructure Greenfield" category, Swen Capital ESG Best Practice Honours
Our impact-driven approach
CONTRIBUTION TO THE UN'S SUSTAINABLE DEVELOPMENT GOALS
We have created an innovative opt-in impact scheme to finance non-profit projects related to fighting against energy poverty and energy access.
ALIGNED WITH A 2°C4 CLIMATE SCENARIO5
We concretely avoid CO2 emissions: 56,377 tons of CO2 emissions avoided since creation6.
ESG APPROACH & RESEARCH PATRONAGE
We use a pioneering lifecycle approach to environmental, social and biodiversity risks/opportunities assessment.
POSITIVELY CONTRIBUTING TO THE JOB MARKET
Our investments contribute to the development of skilled and decent jobs in the energy transition sector in all the geographies where we operate
We sponsor research programs on our projects’ sites in order to increase and share knowledge on biodiversity topics in the context of renewable energy projects.
(1) Source: European Commission, Eurostat.
(2) Source: International Renewable Energy Agency (IRENA)’s Global Energy Transformation Report- A roadmap to 2050
(3) Reference to a ranking and/or an award does not indicate the future performance of the UCITS/AIF or the fund manager.
(4) 2°C internal limits non-binding and not mentioned in our fund regulatory documentation, subject to change by Mirova without prior notice. The carbon impact of investments is calculated using a proprietary methodology that may involve bias.
(5) The Paris Agreement sets out a global framework to avoid dangerous climate change by limiting global warming to below 2°C
(6) Between 2015 and 2019 for all Mirova's energy transition infrastructure funds. Source: Mirova
Discover some of the infrastructure projects financed by Mirova
- Solar PV | France
- Sponsor: Neoen
- Capacity: 300 MW
- Windfarms & Hydro Portfolio | Europe
- Sponsor: RP Global
- Capacity: 254 MW (Enercon, GE)
- Solar PV + ESS | France
- Sponsor: Corsica Sole
- Capacity: 40 MW (SunPower, NIDEC)
- Windfarms & Solar PV Portfolio| France
- Sponsor: Valeco
- Capacity: 180 MW (Vestas, Enercon, Silia)
- Wood | France
- Sponsor: Akuo
- Capacity: 63 MWth (AET)
- Biogas | France
- Sponsor: Engie
- Capacity: 17.5 MW
In April 2020, ENGIE and MIROVA announced this strategic partnership in the biogas sector with the acquisition by our fourth investment strategy dedicated to energy transition infrastructure of a 50% stake into DANA GAZ, a company owning 9 operating biogas plants developed and owned by ENGIE.
The biomethane sector will contribute to a circular economy by recovering waste, creating jobs and supporting agriculture, a key sector for the security of food and energy supply.
- Windfarms | Sweden
- Sponsor: RES
- Capacity: 85.8 MW
Conceded to Mirova in April 2020, the Rödene wind farm is located near Alingsås in Västra Götaland, Sweden. The project consists of 13 turbines with a total installed capacity of 85.8 MW, equivalent to powering 40,000 homes in Sweden, representing an annual saving of 230,000 tonnes of CO2 equivalent.
- Hydroelectric | Portugal
- Sponsor: Engie
- Capacity: 1.7 GW
- Windfarms | Poland
- Sponsor: Akuo
- Capacity: 132 MW
A partnership between Mirova and Akuo, the wind farms are expected to become operational in 2021 and will produce 100% green energy that will meet the electricity requirements of more than 200,000 Polish homes whilst avoiding the emission of over 300,000 metric tons of CO2 per year.
Electric mobility | Europe
As an expert in electric and solar mobility, DRIVECO is continuing its development in an exponentially growing market for recharging solutions for electric vehicles. The company also offers a range of 100% solar-powered recharging stations combining charging stations, photovoltaic energy and intelligent real-time energy management.
ACCESS OUR LATEST INSIGHTS ON ENERGY TRANSITION INFRASTRUCTURES
Akuo, an independent global renewable energy power producer and developer, announces the activation of three wind power plants in Poland, in partnership with Mirova, to mark the inauguration of the Wielowieś power plant. The inauguration took place in the presence of Frederic Billet, Ambassador of the French Republic in Poland, Ginter Skowronek, Mayor of Wielowieś, Patrice Lucas, CEO of Akuo, and Fabien Villacampa, Investment Director at Mirova.
Mirova, through its Mirova-Eurofideme 4 fund1, invests €60m together with 3i Group plc, through its 3i European Operational Projects Fund, in NEoT Green Mobility (“NGM” or the “Company”) to fund its pipeline of projects, while Banque des Territoires is investing an additional €20m. The funding round takes the total equity investment capacity of the Company to €100m. Historical shareholder EDF Pulse Croissance (the EDF Group corporate venture activity) renews its trust in the Company by keeping its involvement in its capital while Mitsubishi Corporation is exiting.
The gradual reduction of public support measures is ushering renewable energies into a new era: that of autonomy on electricity trading markets. The way in which the associated risks are managed (volatility, cannibalisation effects, modification of the supply/demand equilibrium, buyer consideration, etc.) therefore becomes a fundamental issue in the project’s business plan and consequently for all stakeholders. In this article, Mirova offers a look at merchant risk, how it can be analysed, the strategies to guard against it and the opportunities that can be seized.
One of the most important challenges for institutional investors is to deploy large amounts of capital and manage increasingly high liability commitments in an environment of low-yielding opportunities. At the same time, one of the biggest challenges for the world as a whole is dealing with climate change, its impacts on the economy and more broadly with what it already implies in terms of adaptation for all humanity. While seemingly disparate, these two challenges have converged to a point where they become synergetic: today, the renewable energy production infrastructure sector has reached maturity and offers investment opportunities with a good risk/return ratio, while participating in the reduction of greenhouse gas emissions. For investors, renewable energy infrastructure has thus established itself as an asset class in its own right.
Solar energy producer, developer, and storage operator Corsica Sole has signed a strategic agreement with Mirova. Mirova is taking a minority stake in the company and is setting up a bond financing programme for a total investment that could reach €80 million.
Whether it is “grey”, “blue”, “yellow”, or “green”, hydrogen is the topic on everyone’s lips today. While it is already widely consumed in many sectors, its use as a source of energy is only in its early stages. Its applications are as numerous as they are promising, most notably in the mobility sector. For it to become the best facilitator for the transition towards a low carbon economy, many challenges still need to be met, starting with the mass production of a zero-carbon hydrogen which will require substantial investment in the coming years.