02 February 2023

Better Energy and Industriens Pension announce new 800 million EUR investment

Better Energy and Industriens Pension are ready to make another major joint investment of around EUR 800 million in an expected 15 large solar parks to ensure the supply of new green energy in Denmark, Poland and Sweden. The two parties already jointly own 21 solar parks in a separate partnership.

Industriens Pension and Better Energy are expanding their partnership and planning new PV investments in Denmark, Sweden, and Poland for a total construction cost of more than EUR 800 million. The expansion is expected to result in around 15 new solar parks by the end of 2024 that will provide green power to consumers and businesses in Northern Europe.


Total construction costs of EUR 1.5 billion

Industriens Pension and Better Energy have already invested in 21 solar parks with construction costs of around EUR 670 million in a separate partnership. This means that construction costs for both partnerships will total around EUR 1.5 billion for the parties’ investment in solar parks when the expected 15 additional parks have been built. Part of this comes as equity from the parties, while the rest will be from long-term construction financing.


The existing partnership between Industriens Pension and Better Energy currently represents the largest independent producer of solar energy in Northern Europe, and the partnership is also behind the largest PV investments in Denmark.


“Time is the crucial factor in determining the world we leave behind for those who come after us. Real change starts with action, and our new strong partnership with Industriens Pension is a good example of how direct investments can make a tangible difference in the transition we are facing. The partnership boosts our momentum in all our markets; not least Poland, where the need for cheap, green energy is almost insatiable,” says Mark Augustenborg Ødum, CIO in Better Energy.


Better Energy push for Polish PV with immediate climate impact

Polish electricity generation is currently dominated by fossil fuels, with more than 70 percent of electricity being generated from coal. The positive environmental impact of additional renewable energy resources in Poland is therefore significantly higher than in many other countries.


The new partnership with Industriens Pension further strengthens Better Energy’s push to develop subsidy-free large-scale solar parks in the country. Under the existing partnership, Better Energy have built five large-scale solar PV projects with a total capacity of 240 MWp, and the plan is to increase this significantly.


Better Energy is securing more projects for construction in the coming years as part of a +1 GW Polish PV pipeline. This will ensure that even more Polish-based companies can buy subsidy-free, cheap energy directly through Power Purchase Agreements (PPAs) and have a concrete impact on the green transition.


“The new joint investment will accelerate the deployment of renewable energy in Denmark, Sweden, and Poland. The new parks will be another step towards ensuring a more independent energy supply, and they have a very good climate effect per EUR invested. At the same time, we expect the solar parks to provide satisfactory, long-term returns, so we are excited about the investment for several reasons,” says Peter Lindegaard, CIO of Industriens Pension.


Massive electricity production from solar parks

The expected 15 solar parks will be divided between new parks in Denmark, Poland, and Sweden with a capacity of over 1 GW. In total, the two partnerships between Industriens Pension and Better Energy are expected to own 36 parks with an annual capacity of approximately 2 GW.


Industriens Pension and Better Energy will each own 50% of the completed solar power parks, while Better Energy will be responsible for development, construction, and operation as well as the sale of energy from the parks.