Co-operative Bank triples renewable energy lending
The Co-operative Bank has seen a marked increase in the number of new renewable energy projects it has funded, which has led to it almost tripling its lending to the sector in the past year.
Throughout 2012 The Bank has seen increased demand from developers and community groups keen to invest in alternative energy sources.
Reaffirming its commitment to the sector, as a result of the increased demand, the Bank lent £232m to 17 completed renewable energy projects in the first half of 2012, and is on track to lend a similar amount by the end of the year. In the same period in 2011 the Bank lent £79m to completed projects.
The lending to renewable energy schemes plays a key part in The Co-operative Group's Ethical Plan. In 2007, The Bank committed to lend £1bn to renewable energy initiatives.
James Sutcliffe, Renewable Energy Manager at The Co-operative Bank, said: "Undoubtedly, demand for renewable projects - especially wind energy schemes - is at an all time high.
"We have seen the UK public begin to embrace renewable energy as a viable alternative to traditional energy sources and nowadays it is not only companies who are investing in renewable energy projects."
Recently, The Bank funded the UK's largest community renewable energy scheme lending £8m to residents in the Western Isles of Scotland to develop a 7 MW, three wind turbine project on the island of South Uist. The revenue the turbine is set to generate will be used to improve tourism facilities, promote economic activity, improve recreational facilities and to make improvements to the islands' port facilities for fishermen and leisure sailors.
James continues: "The Co-operative Bank continues to fund a large number of community renewable energy schemes, where profits are invested back into the communities that own them, in some cases with projected incomes of millions of pounds over 20 years. At a time when many communities are fighting for survival from the wider economic challenges, small to medium renewable energy schemes provide them an opportunity for communities to become sustainable, creating local jobs and diversifying local economies."
In addition, The Co-operative Group is calling for a clean energy revolution and is campaigning to dramatically increase the number of communities democratically controlling and benefiting from their own renewable energy projects.
The Bank specialises in renewable energy projects with a capital value of up to £25m which are typically taken on by smaller developers, community groups and landowners as a means to diversify income. It has expertise in onshore wind, hydro, biomass and combined heat and power systems, including the complex processes involved in planning permission and grid connection.
The Co-operative Group's Ethical Plan is a three year rolling programme, which encompasses all its family of businesses and sets out a joined up set of goals and targets to drive its ethical and co-operative aspirations.
It raises the bar for corporate social responsibility across key areas including the environment, ethical finance, global poverty, animal welfare, social fairness, health and community enterprise.