In addition to identifying opportunities to invest in new projects, the fund is supporting asset managers of the existing portfolio of 21 renewable energy projects with exploring the potential and, where appropriate, development of re-powering opportunities. The older existing projects may be upgraded with new technology, making even better use of the renewable energy resources. The fund is presently supporting the feasibility work relating to several wind projects in the Netherlands and Germany.
Actual developments in the power markets and their impact on both the revenues of projects in portfolio, as well as the investment prospects are monitored closely. For the medium term, the fund does not anticipate a recovery of power prices. The fund continues to pursue a balanced portfolio, mitigating price risks where possible.
The fund has made investments in excess of the net inflow from investors, resulting in lower liquidity at the end of 2015. The current short-term pipeline exceeds the fund’s current liquidity, part of which has been committed to investments in the first half of 2016. Triodos Renewables Europe Fund continues to identify suitable investment opportunities, which, in combination with the supportive regulatory environment in Europe, gives confidence in its continued performance and growth potential. The fund therefore plans to seek further investment from both existing and new investors in 2016 to support its growth ambitions. Investing in additional projects will diversify its income streams with a view to enhancing returns, whilst continuing to contribute to improving the sustainability of the European energy system.