Renewables sector receives a £150m vote of confidence

In what it asserts is a major vote of confidence in Britain’s renewable energy sector, one of Europe’s biggest energy industries has acquired a £150m refinancing of a Lincolnshire biomass power plant.

Previously BNP Paribas Clean Energy Partners, Glennmont Partners, stated that the refinancing of Sleaford Biomass Plant is the biggest of its kind in the industry.

The deal marks a strong desire for solid returns from renewables which have eluded the unpredictable conditions elsewhere in the energy ­sector by tapping Government support programs to push for lower costs.

The Sleaford agreement was regulated by Deutsche Bank and comes slightly below the £165m Glennmont spent to acquire the straw-burning power plant from Eco2 in 2012.

Since then the 40W power plant has ­received government support to ­produce electricity while piping the heat generated at the plant into a community district heating scheme.

Glennmont’s chief executive, Joost Bergsma, announced that the agreement is consistent with the fund’s plan to create portfolios of renewable power schemes to produce predictable results for its clients.