Australian renewable energy companies will be able to receive investments from the Australian Government through the Southern Cross Renewable Energy Fund.
According to the Australian Government, the $200 million investment from the Southern Cross Renewable Energy Fund, as part of the $3.2 billion Australian Renewable Energy Agency (ARENA), is the largest venture capital fund aimed at renewable energy in Australia.
The fund manager for the investment will be South Cross Venture Partners Pty Ltd, with Softbank China Venture Capital matching the federal government’s $100 million investment “up front and ‘dollar for dollar’.
Minister for Resources and Energy, Martin Ferguson said renewable energy companies “looking to get ahead” have given the fund an “encouraging amount of interest”.
“Venture capital is just one of many ways the Australian Government is supporting the development of Australian renewable and clean energy technologies,” Mr Ferguson said.
“The Australian Government is also supporting innovative clean energy technology through a national carbon price side by side with a Renewable Energy Target and an unprecedented $17 billion investment in clean energy technology development and deployment.”
Equity investments in early stage Australian renewable energy companies to help overcome capital constraints, developing technologies and increasing skills and forge international connections will be managed by the Southern Cross Renewable Energy Fund.
According to the Department of Resources, Energy and Tourism, the fund will actively seek private sector funding to support a portfolio of companies.
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