REG - Octopus Renewables - Response to Recent UK Government Announcements

Octopus Renewables Infrastructure TrustAnnouncement

22/04/2026 08:00

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RNS Number : 4657B  Octopus Renewables Infra Trust PLC  22 April 2026

22 April 2026

 

LEI: 213800B81BFJKWM2JV13

 

Octopus Renewables Infrastructure Trust plc

("ORIT" or the "Company")

 

Statement in Response to Recent UK Government Announcements

Impact of Carbon Price Support removal estimated to be less than 0.5 pence per
share

Increase in Electricity Generator Levy not expected to have a material impact

 

Octopus Renewables Infrastructure Trust PLC, the diversified renewables
infrastructure company, today provides an update on the expected impact of the
UK Government's plans to remove Carbon Price Support ("CPS"), alongside the
wider energy policy measures announced yesterday.

 

Removal of Carbon Price Support

The Company notes the UK Government's announcement on 16 April 2026 of its
intention to legislate for the removal of CPS with effect from April 2028. CPS
is a UK-specific tax on fossil fuels used in electricity generation, designed
to support a minimum carbon price. It has historically contributed to
wholesale electricity prices in periods where carbon-emitting generation sets
the marginal price.

 

The Company's valuation assumptions had already reflected an expectation that
CPS would reduce over time and become less influential as renewable
penetration increases.

 

Based on initial analysis, the removal of CPS is expected to reduce the
forecast electricity price captured by the Company's UK assets (where no
existing hedges are in place) by approximately £2-3/MWh from April 2028, with
the impact declining over time. This analysis incorporates input from the
external consultants which provide the power price forecasts used in the
Company's valuations. The corresponding estimated impact on the Company's NAV
is less than 0.5 pence per share, reflecting the Company's high level of fixed
revenues and geographically diversified portfolio.

 

This assessment is preliminary and subject to refinement as updated power
price forecasts are received.

 

Wider UK Energy Policy Announcements

The Company also notes the UK Government's broader package of energy policy
measures announced on 21 April 2026, aimed at reducing the link between gas
prices and electricity prices in Great Britain. These measures include:

·    An increase in the rate of the Electricity Generator Levy ("EGL")
from 45% to 55%

·      The proposed introduction of voluntary long-term fixed price
contracts for existing low-carbon generators, subject to consultation

Based on an initial assessment, the Company does not expect the change in the
EGL rate to have a material impact on its valuation.

The proposed fixed price mechanism may provide an opportunity to secure
additional long-term fixed revenues.

The Investment Manager will continue to monitor these developments closely and
will update the market on any material valuation impacts as further
information becomes available.

For further information please contact:

 

 Octopus Energy Generation (Investment Manager)                     Via Burson Buchanan or orit@octopusenergygeneration.com

                                                                  (mailto:orit@octopusenergygeneration.com)
 Chris Gaydon, David Bird

 Charlotte Edgar (Investor Relations)

 Peel Hunt (Broker)                                                 Tel: +44 (0) 20 7418 8900

 Luke Simpson, Huw Jeremy (Investment Banking)

 Alex Howe, Chris Bunstead, Ed Welsby, Richard Harris (Sales)

 Burson Buchanan (Financial PR)                                     Tel: +44 (0) 20 7466 5000

 Henry Harrison-Topham, Henry Wilson, Nick Croysdill, Jesse McNab   Octopus@buchanan.uk.com (mailto:Octopus@buchanan.uk.com)

 Apex Listed Companies Services (UK) Limited (Company Secretary)    Tel: +44 (0) 20 3327 9720

 

 

 

Notes to editors

 

 

About Octopus Renewables Infrastructure Trust

 

Octopus Renewables Infrastructure Trust ("ORIT") is a closed-ended investment
company incorporated in England and Wales admitted to the closed-ended
investment funds category of the official list and to trading on the London
Stock Exchange plc's main market for listed securities, focused on providing
investors with an attractive and sustainable level of income returns, with an
element of capital growth, by investing in a diversified portfolio of
renewable energy assets in Europe and Australia. As an impact fund, ORIT
is helping accelerate the transition to net zero by investing in green energy,
whilst also contributing to a broader set of UN Sustainable Development Goals
through its impact initiatives. ORIT's investment manager is Octopus Energy
Generation. Further details can be found
at www.octopusrenewablesinfrastructure.com
(http://www.octopusrenewablesinfrastructure.com/) .

 

 

About Octopus Energy Generation

 

Octopus Energy Generation is driving the renewable energy agenda by building
green power for the future. Its specialist renewable energy fund management
team invests in renewable energy assets and broader projects helping the
energy transition, across operational, construction and development stages.
The team was set up in 2010 based on the belief that investors can play a
vital role in accelerating the shift to a future powered by renewable energy.
It has a 14-year track record with approximately £7.0 billion of assets under
management (AUM) (as at 31 December 2025) across 21 countries and with a total
c.4.9 GW capacity under management. Octopus Energy Generation is the trading
name of Octopus Renewables Limited. Further details can be found
at www.octopusenergygeneration.com (http://www.octopusenergygeneration.com/)
.

 

 

 

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