In selecting the climate technology companies to invest in, the state investment firm looks at factors such as risks, deployment costs, market acceptance, and the company’s R&D capabilities among others.
The positive environmental impact of wind power investments is driving large institutions to back new projects while pushing power companies to improve their alternative energy programs.
Besides carbon transition, renewable energy, energy efficiency technologies, and carbon credit markets are other key allocations for these asset owners.
The two Apac sovereign funds are focusing on renewable and clean energy infrastructure assets as part of their fine-tuned investment strategies.
The A$33 billion ($22 billion) superannuation fund continues to seek renewable assets, but mounting competition could introduce more volatility into Hostplus’s infrastructure portfolio.