The Japan Bank for International Cooperation (JBIC) has pledged to invest up to €100 million ($108 million) as part of an equity participation in the Clean H2 Infra Fund S.L.P. of France. The fund, managed by Hy24, is targeting €1,500 million in equity. Significantly, Hy24 claims it is the world’s largest clean hydrogen infrastructure investment fund.
The fund will invest in clean hydrogen-related projects around the world, from upstream projects like green hydrogen production to downstream projects like captive fleet and refuelling stations.
“Hy24 team is pleased to welcome JBIC among the LPs of the Clean H2 Infra Fund. Hy24’s investment strategy is to deploy capital into clean hydrogen-based projects, particularly in the most advanced regions in the world. Japan is fully committed to establish a hydrogen society. Being able to work with JBIC will be a major asset for the team,” said Pierre-Etienne Franc, Hy24’s chief executive.
The fund is managed by Hy24, which is an equally-owned joint venture by FiveT Hydrogen AG, an investment manager specialising purely in clean hydrogen investments, and Ardian, a world-leading private investment house, via its infrastructure activity.
Recently, many countries and regions focus on hydrogen as an essential energy source for global decarbonisation, and the demand for financing for hydrogen-related projects is growing. The Clean H2 Infra Fund is the world’s largest clean hydrogen infrastructure investment fund and has already been committed to by a leading group of industrial and financial investors active in clean hydrogen sector. Investors include Air Liquide, TotalEnergies, VINCI Concessions, Plug Power, Baker Hughes, Chart Industries, AXA, CCR, LOTTE Chemicals, Snam, Enagas, GRTgaz, ADP, Ballard, EDF and Schaeffler.
The fund intends to unlock strategic and large-scale projects under development to accelerate the scaling up of hydrogen markets. JBIC’s equity participation is expected to contribute toward reducing carbon emission through the efforts of the fund, said Hy24.
Hydrogen, which does not emit carbon dioxide (CO2) when used as a fuel, is drawing attention as the energy solution of the future. With “Basic Hydrogen Strategy” formulated in December 2017 and “Green Growth Strategy Through Achieving Carbon Neutrality in 2050” formulated in December 2020 (updated in June 2021), the Government of Japan calls for international cooperation in social implementation of hydrogen. The fund is in line with the hydrogen-related policies of the Government of Japan.
As Japan’s policy-based financial institution, JBIC will continue to support global environmental preservation efforts by drawing on its various financial facilities including its equity participation function.
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