ALBION COMMUNITY POWER INVESTS £1.5 MILLION IN WIND TURBINE IN SOUTH WALES
First investment for recently launched ACP
Albion Community Power (ACP), the recently launched power generation company, has invested £1.5m in partnership with Welsh developer Infinite Renewables to fund the development of a 500kw single wind turbine in Blaencilgoed, in South Wales.
The wind turbine, which is the first investment made by ACP, will supply electricity to a local quarry. It is expected to produce its first power in September and is predicted to generate over 1,700,000 kWh of electricity per year.
ACP aims to be a major producer of community scale renewable energy by raising up to £100 million in due course to power some 35,000 homes, targeting sites where power can be sold to the community at a discount of up to 50%. The ACP team will invest in a range of renewable energy projects using proven technologies including brownfield wind, solar, hydroelectricity, biogas and biomass.
Volker Beckers, Chairman of ACP said: “The energy industry is changing, and smaller scale schemes will be playing an increasingly important role. We are excited by our first investment and are looking forward to backing other new projects in the coming months.”
David Gudgin, Managing Director of Albion Community Power said: “We are delighted to have completed ACP’s first investment with Infinite Renewables. The ACP team has considerable experience in managing successful renewable energy projects, and are experts in brownfield wind – putting single turbines on industrial estates.
“ACP has already generated over £3 million from retail investors since November and we are pleased to have been able to put their capital to work so quickly in this highly exciting project that is well placed to generate attractive long term returns.”
Will David, Infinite Renewables said: “We have an existing partnership with Albion Ventures, having built a number of turbines together starting with a single mast, 500kW Wind Turbine on a brownfield site near Ebbw Vale in Wales.
We are excited to be partnering ACP on this new project, which plays to our collective strengths. We look forward to developing many more sites with ACP going forward.”
ACP’s projects will qualify for government subsidies such as Feed in tariffs (FiTs). As FiTs are RPI-linked, investors stand to benefit from protection against inflation. The Company is targeting a return of approximately 6% p.a. of which around half is expected to be paid by way of dividend, and which may be reinvested into new shares.
ACP builds on Albion Ventures’ (“Albion”) strong track record in renewable energy projects. Albion has made 10 investments to date that are currently achieving an investment return of 11%.