BlackRock is to create a fund with the New Zealand government and institutional clients to invest in the country’s transition to a low-carbon economy.

BlackRock plans to launch the platform to focus on wind, solar, batteries, electricity storage, electric vehicle charging, natural capital projects, green hydrogen and related infrastructure.

BlackRock said New Zealand companies would be able to access larger pools of capital through the platform, thereby accelerating growth and climate infrastructure build-out.

New Zealand is poised to become one of the world’s first countries to transition to a 100% renewable energy-powered electricity grid by 2030 on the back of its target to achieve net zero carbon emissions by 2050.

The country already boasts of an 83% renewable energy penetration rate, but the transition to a 100% renewable electricity mix will require investment running to NZ$42bn (€23.2bn).

Rachel Lord, chair and head of Asia-Pacific, BlackRock, said: “This pioneering initiative between BlackRock and New Zealand is a powerful example of the public and private sectors joining forces to mobilise capital and help a country achieve its energy transition goals.”

Charlie Reid, Asia-Pacific co-head of climate infrastructure, BlackRock, said: “New Zealand is one of the global leaders in climate finance and renewable energy. This initiative offers institutional investors the opportunity to participate directly in New Zealand’s climate finance ecosystem.”

Andrew Landman, head of New Zealand and Australia, BlackRock, said that in New Zealand, there was a clear preference to invest in a range of energy transition opportunities.

The latest announcement follows BlackRock’s 2022 equity private markets investment – which included an initial commitment of NZ$100m to solarZero, a New Zealand solar energy service provider.

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