Copenhagen Infrastructure Partners has announced the launch of its Growth Markets Fund II during COP 28 in Dubai.

The fund focuses on developing and building offshore and onshore wind, solar PV, energy storage and Power-to-X projects in selected high growth middle-income markets across Asia, Latin America and EMEA. It has a target size of USD 3 billion and is expected to deliver renewable energy infrastructure projects reflecting over USD 10 billion of capital investment.

Copenhagen says that based on GMF II’s already existing portfolio of renewable energy development projects, the fund has the potential to reduce greenhouse gas emissions by more than 10 millon tonnes annually, while powering more than 10 million homes with clean energy and creating more than 100,000 full-time equivalent (FTE) years globally.

The fund is targeting 15 selected high-growth middle-income markets across Asia, Latin America and EMEA, such as India, Vietnam, Philippines, Mexico, and South Africa.

Niels Holst, partner at CIP and co-head of GMF, says, “These middle-income and emerging markets represent not only a mandatory task for the industry – and we believe that they are also very attractive markets for investors seeking exposure to the some of the highest expected growth rates for renewables. They are estimated to account for 25% of global renewable energy capacity by 2050, as economic and demographic growth drives rapidly increasing electricity demand.”

Ole Kjems Sørensen, Partner at CIP and co-head of GMF, says, “With GMF II we are applying our proven greenfield and industrial investment approach from our predecessor funds to create excess returns while significantly mitigating risks. The fund is off to a good start with a large and diversified portfolio of projects reflecting potential equity commitments of more than USD 5 billion – far exceeding the target fund size. We expect the fund to be a global driver in the green and just transition.”

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