“The chief executive of the UK government-backed Green Investment Bank (Gib) is optimistic – if Whitehall will let the shackles off. Shaun Kingsbury says he could raise up to £60bn to fund low carbon energy infrastructure, from wind farms to wave power, and if the restrictions on his ability to borrow in capital markets were lifted. the bank by Gib has already helped to raise £4.8bn for wind farms and other projects during its first 18 months.. The institution has spend only £1.3bn of its £3.8bn seed capital but says project developers have been able to raise £3 from the private sector for every £1 provided by Gib.
Gib has a goal of investing profitably in wind, biomass and other green energy schemes that would otherwise not find funding from the private sector because they are considered too risky, or take too long to develop and pay back the investment. The first 28 projects have been funded by it with global investment backs such as Goldman Sachs, JP Morgan and Deutsche NBank as well as operators such as Don Energy, Balfour Beatty and RWE. Gib has contributed through taking an equity stake or providing project financing and says it had helped create 3,000 jobs so far.