REG - Renew Infra Grp Ld - UK Public Policy Update

Renewables InfrastructureAnnouncement

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RNS Number : 3880B  Renewables Infrastructure Grp (The)  22 April 2026

 

 

22 April 2026

The Renewables Infrastructure Group Limited

The Renewables Infrastructure Group ("TRIG" or "the Company") is
a London-listed renewable energy investment company. TRIG creates shareholder
value through a resilient dividend and long-term capital growth, actively
managed across both investment and operational disciplines by specialist
managers.

UK public policy update

The UK Government made a series of announcements yesterday related to energy
policy. These changes include the extension of Contracts for Difference to
operational renewables assets, which could increase revenue stability for
generators; an increase to the tax rate of the Electricity Generator Levy,
which is not expected to impact TRIG's Q1 2026 NAV; and initiatives to improve
the operational and cost efficiency of the UK's electricity network and
promote the electrification of the UK economy.

Of particular note, the Government announcements included:

 ·             The potential extension of Contracts for Difference ("CfDs"), which are
               long-term, fixed-price, inflation-linked, government-backed revenue contracts,
               to operational renewables assets. The stated objective of this policy is to
               reduce the volatility of electricity prices for consumers. CfDs for
               operational assets ("Wholesale CfDs" / "WCfD") would be expected also to
               improve revenue stability for generators. The extension of CfDs to operational
               projects is a policy that the Managers have been directly engaging with
               Government on, and is aligned with TRIG's strategy to secure a high proportion
               of fixed-price revenues. 75% of TRIG's projected revenues over the next five
               years are fixed price per unit generated. The Managers currently expect TRIG's
               operational projects to take part in the proposed WCfD allocation process in
               2027. In the past three years, TRIG's Managers have secured six new long-term
               contracts with governments (two 20-year Feed-in-Tariffs in France and four
               Capacity Market ("CM") contracts in the UK) and five new offtake / power
               purchase agreements with corporates (including with BT, Virgin Media O2 and
               Hyd'Occ).
 ·             An increase in the Electricity Generator Levy ("EGL") tax rate from 45% to 55%
               from 1 July 2026 with the threshold level at which the tax applies remaining
               unchanged. The power price forecast(1) used by TRIG in the portfolio valuation
               as at 31 December 2025 was below the threshold level(2) in all future periods.
               This is expected to remain the case in the Q1 2026 NAV update. Therefore, no
               NAV or dividend cover impact results from this change.
 ·             Its Reformed National Pricing Delivery Plan ("RNP"), which is consistent with
               industry expectations. It seeks to maximise operational and cost efficiency of
               the UK's electricity network within the Review of Electricity Market
               Arrangements decision to retain a single GB-wide wholesale electricity market,
               with a series of further consultations to come to help shape the final
               arrangements. The RNP recognises the importance of providing clarity to the
               owners and operators of existing assets and confirms that Government does not
               intend to make changes to preexisting agreements, including existing CfD or CM
               agreements. The RNP will seek to prioritise legacy and transitional
               arrangements for transmission network usage charges to seek to safeguard
               investor confidence and ensure a fair transition.
 ·             Greater support for the electrification of the UK economy, in particular with
               regards to promoting the take-up of electric vehicles, the transition of space
               heating to heat pumps and network build out. Greater demand for electricity
               supports the investment case for TRIG's electricity generation assets and
               battery development pipeline.

 

The Managers will continue to engage with Government, including through the
relevant consultations. The Managers will remind Government that regulatory or
tax changes should support, and not hinder, investment in renewable energy
generation and electricity storage, which are both critical to a secure,
decarbonised energy system.

 

1. TRIG uses the average of three power price forecasters' projections,
adjusted for the lower price that a variable renewables project captures
compared to a baseload generator (the resulting discount is known as
cannibalisation).

2. The EGL is calculated based on the average price captured for the year. The
threshold level is currently £82.61/MWh.

Enquiries

InfraRed Capital Partners Limited                        +44 (0)
20 7484 1800

Minesh Shah

Phil George

Mohammed Zaheer

 

Brunswick
+44 (0) 20 7404 5959 / TRIG@brunswickgroup.com

Diana Vaughton

Charles Malissard

 

Investec Bank
Plc
+44 (0) 20 7597 4000

Lucy Lewis

Tom Skinner

 

BNP
Paribas
+44 (0) 20 7595 9444

Virginia Khoo

Carwyn Evans

Notes

The Company

The Renewables Infrastructure Group ("TRIG" or the "Company") is a leading
London-listed renewable energy infrastructure investment company. The Company
seeks to provide shareholders with an attractive long-term, income-based
return with a positive correlation to inflation by focusing on strong cash
generation across a diversified portfolio of predominantly operating projects.

 

TRIG is invested in a portfolio of wind, solar and battery storage projects
across six markets in Europe with a net operational capacity of 2.3GW. In
2025, the portfolio generated enough renewable electricity to power the
equivalent of 1.6 million homes and to avoid 1.8 million tonnes of carbon
emissions per annum.

 

Further details can be found on TRIG's website at www.trig-ltd.com
(http://www.trig-ltd.com) .

 

Investment Manager

 

InfraRed is a leading international mid-market infrastructure asset manager.
Over the past 25 years, InfraRed has established itself as a highly successful
developer, particularly in early-stage projects, and an active steward of
essential infrastructure.

InfraRed manages US$13bn of equity capital(1) for investors around the globe
in listed and private funds across both core and value-add strategies.

InfraRed combines a global reach, operating worldwide from offices in London,
Frankfurt, Madrid, New York, Miami, Sydney and Seoul, with deep sector
expertise from a team of more than 160 people.

InfraRed is part of SLC Management, the institutional alternatives and
traditional asset management business of Sun Life, and benefits from its scale
and global platform.

For more information, please visit www.ircp.com. (https://www.ircp.com)

(1) Uses five-year average FX as at 30th June 2025 at GBP/USD of 1.2851;
EUR/USD 1.1071. EUM is USD 13.217bn.

 

Operations Manager

TRIG's Operations Manager is RES ("Renewable Energy Systems"). RES is the
world's largest independent renewable energy company, working across 24
countries and active in wind, solar, energy storage, biomass, hydro, green
hydrogen, transmission, and distribution. An industry innovator for over 40
years, RES has delivered more than 29GW of renewable energy projects across
the globe.

As a service provider, RES has the skills and experience in asset management,
operations and maintenance (O&M), and spare parts - supporting 45GW of
renewable assets worldwide. RES brings to the market a range of purposeful,
practical technology-based products and digital solutions designed to maximise
investment and deployment of renewable energy. RES is the power behind a clean
energy future where everyone has access to affordable zero carbon energy
bringing together global experience, passion, and the innovation of its 4,500
people to transform the way energy is generated, stored and supplied.

Further details can be found on the website at www.res-group.com
(http://www.res-group.com/) .

 

 

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