TRYG PUTS DKK50M INTO SUB-SAHARAN RENEWABLE ENERGY FUND

Denmark-based insurer Tryg is to invest DKK50m ($9.6m) in DI Frontier Market Energy & Carbon Fund. a new Danish investment vehicle that aims to boost the development of renewable energy in sub-Saharan Africa. The fund will invest a total of DKK450m, Tryg said this morning. Tryg head of investments Mads Hørberg said that the time horizon of the investment was 10 years. "I see a good balance between return and risk and we expect that this investment will yield a much higher return than other capital investments. Tryg’s investment in the Fund is limited. However, it is a good opportunity for us to find ways to combine business interests with efforts to promote sustainable energy solutions". He also observed that the investment included both traditional types of energy sources such as wind, water, solar and geothermal energy as well as energy generated from waste from agriculture, the food industry and households. "Combined with the possibility of generating CO2 credits, these green energy sources offer an appealing investment opportunity", Mr Hørberg said. The fund, founded by the Confederation of Danish industry, is focusing on the eastern and southern parts of Africa, especially Kenya, Tanzania, Uganda, Zambia, Mozambique and South Africa. The objective is to make eight to 12 investments within different types of energy technologies, as well as energy efficiency.