Norges Bank Investment Management (manager of Norway's sovereign wealth fund)
seeks to scale renewable-energy infrastructure investments but elevated
valuations are limiting deployment. NBIM invested about €11bn in renewables
infrastructure last year; new allocations this year are only slightly above
€2bn. NBIM's energy and infrastructure head Harald von Heiden said the market
has moved from a buyer's market to a seller's market and that restraint reflects
market conditions rather than lack of intent. The fund is authorized to allocate
up to 2% of total assets to renewables and unlisted infrastructure. As of
end-September the unlisted renewables portfolio stood at NOK 1,140bn (~$12.1bn),
about 0.5% of the fund; including commitments through 2030 that would rise to
1%. Q3 return on these assets was 7.5%, versus 1.8% in the prior three months.
By comparison, equities returned 0.5%, unlisted real estate slightly less, and
fixed income contributed negatively.