Abu Dhabi-based Masdar and UK’s Green Investment Bank plc (GIB) have signed a Memorandum of Understanding (MoU) today to explore investment opportunities over the next seven years in UK’s clean energy sector.
Signed on the occasion of a state visit to the UK by His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE, the latest alliance is expected to see increased cooperation by both the countries in investing in the UK’s renewable energy portfolio and will pave the way for more investment in the future.
The MoU will lead to joint investments in green infrastructure projects by both UAE and UK in the next seven years, and will be managed independently with governance of both parties remaining intact. The firms will also introduce potential investment opportunities to each other as well as to the other investors in the sector.
Masdar has already independently invested over £500 million ($7.77 million) in the UK through its equity stake in London Array, the world’s largest offshore wind farm.
“The United Arab Emirates and the United Kingdom have already forged a strong bond in the advancement of clean energy,” said Dr. Sultan Ahmed Al Jaber, CEO of Masdar.
This collaborative investment effort will not only strengthen the ties but also has the potential to pay healthy dividends for both countries, he added.
Dr. Al Jaber highlighted that Masdar is “actively engaged in exploring new investment opportunities in the UK offshore wind and clean technology sectors” and expressed his pleasure in the company’s contribution towards London Array.
“We’ll be working together closely to bring investment to UK clean energy projects and to share our expertise and experience,” said Shaun Kingsbury, CEO of GIB, echoing his counterpart’s sentiments.
Kingsbury hopes that this relationship will show “how we can act as a catalyst to bring in additional funds for UK clean energy projects to complement the support we’ve already received from the UK Government.”
With an initial funding of £3 billion, GIB was formed to accelerate UK’s transition to a greener economy and hopes to attract more investments towards UK’s low carbon economy.