Effort will enable greater clean energy impact per dollar invested by New York State while supporting the Governor’s 50% by 2030 Renewable Energy Goal
NY Green Bank announced today it has issued a new Request for Proposals (RFP) to evaluate strategies for raising, investing and managing at least $1 billion in third-party capital to support New York’s energy goals. This is an important step in its previously announced intention to expand the availability of financing for clean energy projects both within and beyond New York State.
“Today’s announcement signals to the marketplace that we are moving forward with our efforts to raise third-party capital to invest in New York and beyond, and that we seek the best guidance possible in accomplishing these objectives,” said NY Green Bank President Alfred Griffin. “We look forward to delivering even greater clean energy benefits to New Yorkers through greater capital availability and reduced costs, all while demonstrating that sustainable infrastructure can be both green and profitable.”
Through the issuance of a new RFP for Strategic Advisory and Capital Arranger Services, NY Green Bank seeks to bring on a firm, or group of firms working together, to evaluate potential fund structures, market participants, and execution strategies, and ultimately to execute the capital raise itself.
NY Green Bank’s exploration of opportunities to manage third-party capital for investment within NYS and in broader markets was first announced during Climate Week in September 2017. In October, it was announced that NY Green Bank would seek at least an additional $1 billion and that it sought to release an RFP for Advisory Services to inform such an effort. Access to additional funds will enable NY Green Bank to broaden the scope of investable projects and increase the amount of clean energy that will be deployed for every public dollar invested.
“Governor Cuomo is providing much-needed leadership in demonstrating that his ambitious energy and climate initiatives will provide substantial economic and environmental benefits in New York and beyond,” said Alicia Barton, NYSERDA President and CEO. “NY Green Bank’s efforts to seek third-party capital to mobilize at least $1 billion of additional investment in clean energy project deployment will accelerate our efforts to build a cleaner, more sustainable energy system for generations to come.”
NY Green Bank is the largest Green Bank in the nation, and as of the end of its latest fiscal quarter (closing on September 30, 2017) the fund had received over $2.1 billion in requests for capital to support clean energy project development across the state. As of that date, NY Green Bank has committed over $440 million of its capital, supporting total investments in New York State clean energy projects of up to $1.59 billion. In helping to drive towards New York’s ambitious goals of reducing greenhouse gas emissions 40 percent by 2030, this portfolio of projects is expected to reduce emissions by as much as 7.4 million metric tons, equivalent to removing between 54,800 and 72,500 cars from the road for a period of 22 years. The organization has also generated $23.0 million in revenues since inception and has achieved self-sufficiency sooner than anticipated with cumulative revenues already in excess of cumulative operating expenses.
NY Green Bank is a $1 billion state-sponsored investment fund designed to address market barriers and financing gaps preventing the deployment of clean energy projects. NY Green Bank is a division of the New York State Energy Research and Development Authority (NYSERDA) and a key component of the Clean Energy Fund (CEF), a 10-year, $5 billion commitment by New York State to advance clean energy market growth and innovation while reducing ratepayer collections and driving economic development. More information is available at www.greenbank.ny.gov.