GLP Capital Partners (GCP), an alternative asset manager based in Singapore, has established its first commingled clean energy strategy in China, raising 4bn yuan ($555m) in total capital commitments from domestic institutions. The fund’s overall investment is expected to reach 20bn yuan.

Among those that have committed to the fund are the National Green Development Fund and feeder funds affiliated with CHN Energy Investment Group, one of China’s largest electricity providers and a prominent state-owned enterprise in the energy sector.

The capital raised provides dry powder for renewable energy investments across wind, solar, energy storage, and related energy management solutions. The fund will target both greenfield projects and acquisitions in these sectors.

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GLP will be managing the investment, development and operations of the renewable assets through dedicated teams in China, creating economic, social and environmental value for investors, partners, customers, and the broader communities, the firm says.

“This is a significant fundraiser for GCP and we are pleased to raise third-party capital from partners who share the same vision for strengthening renewable energy investment,” says Teresa Zhuge, GCP executive vice-chairman and president for China.

“Renewable energy is one of GLP’s key pillars, focusing on facilitating the energy transition across new economy sectors for a sustainable future. Given GLP’s strong in-house expertise across planning, development and operations, we believe we can further accelerate market leadership in this space, to support partners and clients in pursuing their carbon neutrality goals.”

To achieve its climate goals, China aims to increase the non-fossil fuel share in total energy consumption to 25% by 2030 and 80% by 2060, up from 17.3% in 2022, with the amount of energy provided by solar and wind energy expected to grow significantly over the same period.

Source: The Asset

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