In September 2007 Mutual Energy announced plans to become a founding investor in the European Renewable Energy Fund. Following consultation with the Northern Ireland Authority for Utility Regulation (NIAUR) it was agreed that Mutual Energy would invest £10M in a fund which was set up during 2007. It is intended that it will attract total investment of up to €250m.
Mutual Energy, with regulatory approval and as a founding investor established the European Renewable Energy Fund in September 2007 with a €15 million commitment. The objectives of the fund are threefold:
- To contribute to a reasonable and safe return on the £30 million capital rebate received by Moyle Interconnector Ltd as part of the introduction of the BETTA trading arrangements in Britain.
- To assist in dealing with climate change by helping to meet European renewable targets and investing in renewable energy.
- To provide an equity fund that can be accessed by renewable energy developers on the Island of Ireland.
The fund has been established to make equity investments in commercially robust projects that are likely to be either operational or at an advanced stage of development.
Mutual Energy appointed Platina Finance Limited as the fund manager. Mutual Energy has similar rights to other investors in the fund and does not manage the fund day to day in terms of attracting investors or selecting projects for investment.