The Mayor of London, Sadiq Khan has announced a new £100 million fund to support decarbonisation projects across London in partnership with Sustainable Development Capital LLP (SDCL).
The London EDGE Fund partnership will unlock additional investment from the private sector and enable many more organisations across the capital to make energy efficient choices. Sadiq has committed £50 million from City Hall which is to be matched by funds managed by SDCL, who will also manage the Fund.
EDGE will invest in projects that have the capacity to achieve significant reductions in energy usage, greenhouse gas emissions or other pollutants across London. Building on SDCL’s expertise in low-carbon infrastructure, the Fund will focus on energy efficiency, on-site generation and clean energy solutions – areas key to helping London achieve net zero by 2030 – like installing building management systems, heat pumps, solar panels, and electric vehicle charging.
The EDGE Fund will play a vital role in increasing the level of private investment in low-carbon infrastructure in London, acting as a keystone investment for the London Climate Finance Facility, which also includes the Green Finance Fund.
EDGE will fund numerous projects over the course of the next four years, accelerating London’s shift to net zero and solidifying London’s leading position as a city delivering climate action. The Fund will set a global example of how private finance and cities can work together to achieve decarbonisation goals by investing in projects that will promote green jobs and low-carbon infrastructure.
London was the first global city to declare a climate emergency in 2018 and Sadiq has set an ambitious target for London to reach net zero by 2030, ahead of the UK Government’s 2050 goal, to mitigate the most devastating impacts of climate change. The London EDGE Fund is one of the many ways Sadiq is working closely with the private sector to help reduce London’s carbon emissions.
The Mayor of London, Sadiq Khan, said: “I’m committed to making London net zero by 2030 and this is achievable, as long as we work closely together to help deliver energy efficient and low carbon projects.
“This new fund will help us unlock additional investment from the private sector and enable us to support many more organisations across the city as they make energy efficient choices.
“London is a world-leading city and this fund will support hundreds of companies as we build a better, cleaner and greener London for all.”
Jonathan Maxwell, Founder and CEO of SDCL, said: “London is a global hub for servicing the transition and finding creative ways for private capital to play its full part in unlocking projects that are vital to get to net zero. Since SDCL launched we’ve worked with industrial customers around the world to help improve their economic competitiveness and drive their decarbonisation strategies.
“We’ve a long track record of working with municipalities too and I am delighted to work with the GLA and the Mayor Sadiq Khan on this latest initiative. As the C40 has made clear, cities are vital agents of change when it comes to net zero. With the EDGE fund, London continues to lead by example and I look forward to seeing the types of projects we can help to deliver.”
Mark Watts, Executive Director at C40 said: “This new fund is exciting news and an important step towards accelerating the delivery of London’s carbon targets. By reducing the demand for energy and increasing the uptake of clean energy, this initiative will contribute significantly to phasing out the use of fossil fuels in the city – reducing emissions and improving air quality.”