A Clean energy bank aims to raise $8 billion
New York Governor Andrew Cuomo recently announced the creation of a clean energy bank which aims to raise $8 billion by 2023.
The Green Bank will provide clean energy developers access to more affordable finance in the form of low interest loans to projects that are generating clean power. The aim of the Green Bank is to build a more resilient clean energy market that will grow with New York’s economy for years to come.
“With this initiative, we will promote job growth and business development, improve resiliency and air quality, and lower costs for consumers while providing them with greater choices and value for their money.”
– Andrew Cuomo, Governor of New York.
Clean energy investing in the U.S. has not had the best reputation since the failure of California’s solar-cell manufacturer Solyndra LLC in 2011. However, the Green Bank hopes to reaffirm the potential of clean energy in the minds of investors. To attract a wide range of investors, the Green Bank will package its loans for resale in the secondary market, meaning there will be scope for pension funds and other institutions to invest in the projects as well. The Green Bank will also guarantee absorption of a portion of losses incurred on specific loans in an effort to promote private lending.
Guide to Investing in Clean Energy
For businesses and individuals, clean energy is becoming an increasingly attractive and viable alternative to conventional energy sources, which are volatile and unpredictable in price, detrimental to the environment and the greatest contributor to climate change. Demonstrating dynamism and resilience, the clean energy sector has attracted investment from institutional, venture capital, family office, high net worth and affluent private investors.