Even the most diehard supporter of
fossil fuels would have to admit that
time is running out. Renewable energy
is the future and, in recognition of this,
Rabobank International is increasing its
involvement in the financing of various
sustainable energy projects.
Leading by example
Green activities
As Associate Director of Rabobank's Corporate Social Responsibility depart-
ment, Daan Dijk has promoted the implementation of many of the bank's
policies and initiatives concerning renewable energy, clean technology
(cleantech) and energy conservation. 'In all cases, we not only try to make
the initiatives sustainable, but also commercial,' he says. 'In 2000, for
example, we set up the Robeco Sustainable Private Equity Fund, whose
200 million portfolio is now closed. The first closing of its successor, the
Robeco Clean Tech Private Equity II fund, took place at the end of 2006.
This fund aims for a final closing value of 500 million, reflecting the
growing popularity of environmentally friendly investment products.'
Rabo Greenbank, which has a balance sheet over 3 billion, has invested
2.5 billion in energy conservation and renewable energy projects in the
Netherlands alone. In addition, Rabobank International (Rl) has financed
international cleantech projects to the tune of 1.5 billion. 'I prefer the term
cleantech to renewable energy, since cleantech covers the entire spectrum
of technologies promoting resource efficiency,' Dijk continues. 'Resource
efficiency is key to human survival, which means that it's good business.
The planet can no longer regenerate sufficiënt natural resources to meet
our growing demands, so resource efficiency and cleantech are the only
way forward. Our aim is to become the world-wide market leader in
financing this field.'
Dijk sees an overlap between RI's traditional focus on the F&A sector and
its support of cleantech projects. 'For a start, many of the raw materials
used to create biofuel come from farms,' he says. 'Bio-ethanol is made from
grain, sugar and corn, while bio-diesel comes from rapeseed and palm oil,
for example. In addition, wind and solar farms are still referred to as farms
and are often located on farmers' land. In fact, our
clients are among the world's largest producers of
renewable energy.'
'We've created an environmentally friendly, win-
win situation for all parties involved,' Dijk contin
ues. 'We attract investment from retail clients in
our Green funds, which are exempt from income
tax. We then use the proceeds to fund loans to
wind farms and other renewable energy projects,
which, in turn, sell the electricity produced back
to our clients at attractive rates. Rabobank also
buys all its electricity in the Netherlands from the
farmers cooperative Wind Unie.'
Within the Netherlands, Rabobank has financed
wind energy projects with a total capacity of
more than 1,000 megawatts. 'We also financed
the largest solar roof in the Netherlands, which
covers a horticultural exhibition centre, and we're
very active in biofuels, both bio-ethanol and
bio-diesel,' Dijk explains. 'On a small scale, we
financed the first rapeseed mill in the Netherlands,
which produces car fuel and has a cooperative
of 150 farmers behind it. But we're also involved
in bio-ethanol production on a much largerand
world-wide scale, including Brazil, where 80% of
cars are equipped to run on the fuel.'
The Word 9
