New Zealand and BlackRock launch a $1.22 billion Climate Infrastructure Fund

The New Zealand government and US-based company BlackRock said to launch a NZ$2 billion ($1.22 billion) Climate Infrastructure Fund to invest in solar, wind, green hydrogen and battery storage technologies.

“This is the largest low-carbon economy transition investment initiative BlackRock has built to date,” BlackRock Chairman and CEO Larry Fink said in a LinkedIn post.

“It will allow New Zealand companies to access larger pools of capital to build climate infrastructure across the country’s energy system,” he added.

The government and BlackRock announced the fund in a joint statement, but did not provide any details on when it will be launched.

New Zealand’s electricity sector is largely dominated by renewables, but the government has set a target of achieving 100% renewables.

“This fund will accelerate emissions reductions in New Zealand, with a focus on the goal of providing 100% renewable electricity, which will allow our business to access greater pools of capital for development and growth,” said Megan Woods, New Zealand Minister of Energy.

“Thanks to record levels of renewable electricity generation in recent years, New Zealand is well positioned to be one of the first countries in the world to introduce an entirely renewable electricity system,” Woods added. ($1 = NZ$1.6383) (Reporting by Lucy Kramer. Writing by Sam Holmes)