Dutch pension investor to invest over $1 billion in Octopus Australia

Dutch pension investor APG Asset Management will pour over $1 billion into Octopus Australia’s flagship renewable energy platform, OASIS.

APG, one of the world’s largest pension fund investors with assets under management exceeding $1 trillion, and Octopus announced the new partnership on Tuesday, billing it as “one of the most significant institutional engagements in Australia’s clean energy transition to date”.

The over $1 billion investment is expected to help accelerate the development of Octopus Australia’s growing platform and pipeline of utility-scale solar, wind, and battery storage projects.

“This partnership marks a transformational moment for both our business and the broader Australian energy landscape,” said Sam Reynolds, CEO of Octopus Australia.

“To be chosen as the local partner by a global investor of APG’s calibre is a powerful endorsement of our strategy and team and is a reflection of Australia’s position as a leading destination for long-term, sustainable infrastructure investment.”

“Our teams are strongly aligned in purpose and ambition. Together, we will continue delivering projects that create long-term value for investors and communities, while playing a key role in decarbonising the nation.”

The investment will be made into the Octopus Australia Sustainable Investments Fund (OASIS), an open-ended unregistered wholesale Australian unit trust that focuses on providing investors with exposure to a diversified portfolio of Australian clean energy infrastructure assets in development, construction, and operation.

Among Octopus Australia’s portfolio of projects are the 275-megawatt (MW) Darlington Point solar farm in New South Wales, the 181 MW Dulacca wind farm in Queensland, and the under-construction Fulham solar farm and battery project in Victoria.

APG conducted a comprehensive review before it chose to partner with Octopus Australia, citing the company’s integrated development model and ability to progress shared impact, climate, and long-term value creation goals.

“Our partnership with Octopus Australia represents a substantial opportunity to drive meaningful impact around critical climate priorities with best-in-class renewables projects that are strongly positioned to generate value for decades to come,” said Hans-Martin Aerts, head of infrastructure & private natural capital across Asia Pacific at APG.

“We are looking forward to deepening our collaboration with Octopus Australia as we meet substantial demand for high-quality renewable energy infrastructure in key markets like Australia and support the wider energy transition needed across the world’s highest emissions regions.”

APG joins existing investors such as Australian superannuation funds Rest and Hostplus, international pension funds, the Australian Federal government through its Clean Energy Finance Corporation, private banks, and wealth managers.