New York State Governor Andrew M. Cuomo announced October 27 that the NY Green Bank was seeking to raise at least an additional $1 billion in private sector funds to expand financing availability for clean energy projects.
“As the federal government turns its back on solutions to climate change while denying reality, New York is doubling down on our efforts to act on the clean energy future,” said Governor Cuomo. “This expansion of the New York Green Bank will combat climate change while creating good-paying clean energy jobs across the state, helping to secure a cleaner and greener tomorrow for all New Yorkers.”
NY Green Bank has seen strong interest from third-party entities like pension funds and insurance companies seeking to utilize it as an investment vehicle for sustainable infrastructure projects. The additional capital raised can be invested in projects across the United States, expanding transaction scale and leverage, increasing the amount of clean energy that will be deployed for every dollar invested.
“Extreme weather has become the new normal. We must take action to protect our environment and ensure a more sustainable future through the use of clean energy,” Lieutenant Governor Kathy Hochul said. “Governor Cuomo’s commitment to expand the NY Green Bank, the largest public-private clean energy finance entity of its kind in the nation, will ensure a cleaner, greener and more economically beneficial future for New York and create endless new career paths in clean energy.”
NY Green Bank will also work with other states and philanthropic entities to help establish local Green Banks in other states. In support of these new Green Banks, NY Green Bank may provide financing along with mid- and back-office services, due diligence, underwriting and general technical support. As the next step in raising third-party capital, NY Green Bank will issue a request for proposals for advisory services to evaluate options for structuring and facilitating such an effort and ultimately assisting in securing third-party capital. The RFP is expected to be released by the end of the year.
NY Green Bank is a State-sponsored, specialized financial entity working with the private sector to increase investments into New York’s clean energy markets, creating a more efficient, reliable and sustainable energy system.