Government publishes criteria for deciding where the Bank will be based and what the Bank's first priorities will be until 2016.
The Green Investment Bank is designed to accelerate private sector investment in the UK’s transition to a green economy.
The first priority sectors for the Bank, subject to approval by the European Commission, are:
- Offshore wind power generation.
- commercial and industrial waste processing and recycling.
- Energy from waste generation.
- Non-domestic energy efficiency.
- Support for the Green Deal.
Also published were the criteria for deciding on a location for the bank, with a view to a decision being made on a HQ site by the end of March. The criteria say that the location should:
- Be able to recruit and retain the specialist staff needed to run the organisation.
- Enable the GIB to work closely with other parties involved in deals as well as other investment bodies, project developers and green technology providers.
- Be in a location that provides good value for money, to ensure that the GIB is cost effective.
Vince Cable said:
“There is a great opportunity for British businesses to lead the transition to a green economy and stake a claim on a sector that has massive potential for growth.
“I’m pleased to see that more than 20 places recognise the impact the Green Investment Bank could make, and are expressing an interest in being its home.
“I want to set up the Bank as soon as possible, so it can start accelerating investments in these key sectors and help British companies take advantage of these opportunities. Setting out the priorities for the Bank and establishing UK Green Investments for April 2012 are a major step forward.”
Read Vince Cable’s speech in full on resource security to the CBI / Green Alliance Conference in London on the 12 December.
UK Green Investments
Business Secretary Vince Cable also announced the creation of a new team, UK Green Investments (UKGI), at BIS. UKGI will drive investment in the UK’s green infrastructure until the Green Investment Bank is formally established.
The team will have access to the £100 million made available by the Government to invest in smaller waste infrastructure projects on a fully commercial basis.
A further £100 million has been provided for investment in the non-domestic energy efficiency sector for the next financial year. UKGI will also be available to co-invest in offshore wind projects.
Search begins to find managers for waste infrastructure investments
UKGI is seeking expressions of interest from experienced fund managers to run Government managed accounts of up to £100 million to be invested in waste infrastructure projects.
The fund will invest in small waste infrastructure projects, waste recycling and waste treatment ahead of the establishment of the Green Investment Bank (GIB).
Potential Fund Managers should target the waste infrastructure sector, and projects with a technical focus on value adding re-use, recycling, or waste reprocessing facilities; waste-to-energy facilities; waste facilities displacing fossil fuels; and rollout of proven waste technologies across the UK.
Fund Managers expressing an interest should also show how they intend to raise the private sector investment to invest alongside UKGI.
Read the press notice in full: Green Investment Bank moves a step closer