CIP buys stake in CWP’s green hydrogen development portfolio

Copenhagen Infrastructure Partners (CIP) has made a strategic investment in CWP Global’s development portfolio of ultra-large-scale green hydrogen hubs, including projects across Africa, Australia and the Americas.

CWP Global, a developer of renewable energy, currently has a green hydrogen hub portfolio with a planned combined renewable power generation capacity of nearly 220GW.

CIP, through its Energy Transition Fund I, has now acquired a 26.67% stake in a development platform within CWP’s green hydrogen business, opening up an opportunity to invest in a pipeline of green hydrogen hubs under development globally.

According to a joint statement by CIP and CWP, this investment brings together CWP’s green hydrogen team and CIP’s expertise in financing and developing large-scale green transition infrastructure. Furthermore, CIP’s support is said to represent a vote of confidence in the emerging green hydrogen sector.

The Breakthrough Agenda Report led by International Energy Agency (IEA) points out that investment in the production of renewable and low-carbon hydrogen must scale up significantly to increase supply from less than 1 Mt in 2020 to 140-155 Mt by 2030 to align with emissions trajectories in pursuit of the Paris Agreement’s temperature goals. Against this backdrop, CIP’s investment in CWP’s portfolio of green hydrogen hubs is a major step in the right direction, the partners said.

Commenting on the new deal, Alex Hewitt, CEO of CWP Global, said: “We’re thrilled to welcome CIP to the CWP family, a new partnership that could not have come at a more important time. The race to net zero is on, and green hydrogen at scale will be a critical pillar for global decarbonisation, perhaps meeting one-fifth of global energy demand by 2050.

“This CWP-CIP partnership is built around a remarkable alignment of values and a shared vision of the scale and urgency of the energy transition. We look forward to working with CIP to build value for the planet and future generations, and new opportunities for local communities and economies, including in the developing world.”

Felix Pahl, Partner at Copenhagen Infrastructure Partners, added: “Achieving decarbonisation targets requires green hydrogen and green ammonia to be produced at scale. Through this investment, CIP’s Energy Transition Fund now further expands its participation in the development of gigawatt-scale PtX developments. CWP has a proven track record in delivering onshore renewables and has already built a strong pipeline of PtX development projects.

“With a strong management team and established regional footprints in Australia, Africa and Latin America, we expect CWP to become a global leader in developing ultra gigawatt-scale PtX projects and contribute significantly to the decarbonisation of hard-to-abate sectors.”

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