Norges Bank Investment Management (NBIM) oversees Norway Government Pension Fund Global, the nearly $ 2 trillion sovereign wealth fund. Norway’s GPFG has entered into an agreement with Brookfield Asset Management to commit $1.5 billion to their latest energy transition fund – Brookfield Asset Management’s Global Transition Fund II (BGTF II). Since receiving the management mandate from Norway’s Ministry of Finance in 2019 to invest in unlisted renewable energy infrastructure, NBIM has completed eight direct investments in European solar, onshore and offshore wind, and electricity transmission systems, as well as one indirect investment through a global renewable energy fund.
The Norwegian giant investor continues to build this portfolio and have now entered into an agreement for a second indirect investment through a fund, in line with their renewable fund strategy for this period.
“This agreement marks our first investment in an energy transition fund. BGTF II will enable us to invest in projects that develop renewable energy infrastructure while also supporting the broader transition to low-carbon solutions across industries,” says Harald von Heyden, Global Head of Energy and Infrastructure at Norges Bank Investment Management in a press release.
BGTF II focuses on business transformation, clean energy, and sustainable solutions aimed at accelerating the transition to a net-zero economy. The Brookfield-managed fund will invest across North America, South America, Europe, and Asia-Pacific regions where Brookfield has established operational presence. BGTF II is the is the successor of the inaugural Brookfield Global Transition Fund (BGTF I) which closed on a record $15 billion, inclusive of fund commitments and strategic capital from our investor base in June 2022, making it the largest such fund in the world.
