Bord na Móna to raise €1.6 billion for climate action projects
Bord na Móna is to raise €1.6 billion to fund a series of major climate action projects across its 200,000-acre landholding. The company has appointed Goodbody Corporate Finance to manage the fundraising for a series of largescale climate action projects, including wind, solar energy, battery storage, biomass, renewable gas and demand-side assets for delivery in this decade.
Announcing the fundraising and investment programme, Bord na Móna Chief Executive, Tom Donnellan, said: “Bord na Móna’s purpose is to help Ireland become carbon neutral by 2050 and we are committed to delivering this major pipeline of critical climate action projects.
Bord na Móna has a national and business imperative to use our land and other assets to develop these projects. We have already discerned a strong appetite from investors for the major renewable projects that we are developing and are delighted that Goodbody is on board to help manage the funding.”
Bord na Móna has six major projects in planning and construction phases with as many more to follow before 2030. The company is already generating 10% of Irish renewable electricity and is on track to achieve a 300% increase in its renewable energy output in this decade. By 2030, Bord na Móna will be generating enough renewable energy to supply nearly a third of all Irish homes. The company’s renewable energy supply will also significantly help Ireland deliver on its carbon reduction and green energy targets.
The funding and investment announcement follows the company’s recent success in the first competitive auction under the Government’s new Renewable Electricity Support Scheme (RESS-1). Two Bord na Móna wind energy projects were successful in their bids, winning 158MW total capacity in the auction representing a massive 25% of the total capacity awarded.
In 2018, the company adopted its Brown to Green strategy with the stated ambition of taking a leading role in delivering key aspects of national climate action policy. Under this strategy the company accelerated its development pipeline of renewable energy and recycling infrastructure. Bord na Móna has also launched one of the largest peatland restoration and management programmes in Europe. This peatland restoration and management programme will significantly boost biodiversity and is aimed at securing and capturing more carbon in its lands.
Commenting on being appointed Bord Na Mona’s financial adviser, Finbarr Griffin, Head of Goodbody Corporate Finance said: “Goodbody is delighted to be working with Bord Na Móna on this large strategic fundraising. Goodbody has been involved in the funding of renewable energy and infrastructure for over 15 years and we see Bord Na Móna as a key strategic player in Ireland’s drive for carbon neutrality.
Last week, the European Commission proposed cutting 55% of Europe’s emissions by 2030, up from its previous goal of 40% and said it would use hundreds of billions of euros worth of green bonds to help fund the target. The European Commission funding plan will make €225 billion available for climate action projects across the Union.
In 1992, Bord na Móna commissioned Ireland’s first commercial wind farm in Bellacorick, Co. Mayo. The company has since committed to investing in the development of a diverse portfolio of wind, solar and other infrastructure helping Ireland to build a secure supply of renewable energy.
Bord na Móna renewable energy portfolio
- Bellacorrick Wind Farm – (operational since 1992) – 6.4 MW
- Mountlucas Wind Farm – 84 MW
- Bruckana Wind Farm – 42 MW
- Drehid Landfill Gas – 5.6 MW
- Sliabh Bawn (JV) Wind Farm – 64 MW
- Oweninny (JV) Wind Farm Phase One – 93 MW
- Edenderry (cofiring) power station – 128 MW
Assets In Construction
- Cloncreen Wind Farm – 75 MW
- Oweninny (JV) Wind Farm Phase Two – 83 MW
- Derryadd Wind Farm – 90 MW (incorporates battery storage facility)
- Timahoe Solar Farm (JV) – 70 MW
Planning applications in process
- Derrinlough Wind Farm – 85 MW
- Cul na Móna Renewable Gas facility (to supply renewable gas to 5,500 homes)
- Ballivor Wind Farm
- Oweninny Wind Farm Phase 3
- Other wind, solar, biogas and storage projects TBA