Shinhan Asset Management commits 500 billion won to energy infrastructure, expands investment in community projects and power grids

[Financial News] Shinhan Asset Management has set up a fund worth a total of 500 billion won to invest in community-participation renewable energy projects and domestic energy infrastructure. It plans to broaden its investment scope beyond power generation projects such as offshore wind and solar to include power grids, energy storage systems (ESS) and port infrastructure.
Shinhan Asset Management said on the 30th that it had signed capital commitment agreements for the Shinhan Community Profit-Sharing General Private Special Asset Investment Trust No. 1 and the Shinhan Energy Infrastructure Growth General Private Special Asset Investment Trust No. 1, and formed an energy infrastructure blind fund worth approximately 500 billion won in total.
The Shinhan Community Profit-Sharing Fund provides financing to local residents and resident cooperatives participating in large-scale renewable energy generation projects, and shares with residents the profits generated from power plant operations. It is the asset management industry’s first fund dedicated to community participation, and has secured a large-scale community-participation offshore wind project as its first investment.
The Shinhan Energy Infrastructure Growth Fund makes both senior and subordinated loans, alongside equity investments, in domestic renewable energy and power grid infrastructure. It provides financing throughout the project lifecycle, from development through construction and operation. It also plans to participate in publicly led projects by state-owned power generation companies and policy finance institutions, as well as projects linked to the National Growth Fund.
This year, Shinhan Asset Management has expanded its investment in the energy transition, including managing a carbon credit fund, establishing a carbon-neutral port infrastructure fund, participating in a distribution grid ESS project and jointly developing publicly led solar power projects.
Lee Ho-jun, executive vice president of the Infrastructure Management Division at Shinhan Asset Management, said, "The Community Profit-Sharing Fund is meaningful because it enables local residents and institutional investors to share in the benefits of renewable energy generation projects." He added, "We will identify investment opportunities in a range of areas, including carbon credits, port decarbonization and transmission and distribution networks, and expand infrastructure investment to support the energy transition."   
[email protected] Bae Han-geul Reporter