Norway to invest up to $3bn in renewable energy projects

Apr 6, 2009 - New Energy World Network

Norway is proposing to allocate up to NOK20bn ($3bn) for green investments, through a new investment programme from its Government Pension Fund.

The environmental programme will be aimed at investments that can be expected to yield indisputable environmental benefits, such as climate-friendly energy, improving energy efficiency, carbon capture and storage, water technology and management of waste and pollution.

Norwegian Minister of Finance Kristin Halvorsen said, ‘We are planning that the entire amount for the environmental programme and a possible investment programme aimed at sustainable growth in emerging markets will be around NOK20bn, invested over a five year period.’

As a broadly diversified and long-term investor, the fund will have an interest in avoiding negative economic repercussions of climate change, according to a statement.

In addition, the Norwegian Government is aiming to initiate a broad study to assess how the challenges of climate change may affect the financial markets and how investors ought to act in light of this.

‘In the same way as the Stern Review provided important knowledge about the impact of climate change on the general economic development globally, work of a similar nature might shed light on the effect on financial markets more specifically,’ added Halvorsen.