Prestige Funds, providers of private finance to the UK’s agriculture, clean energy and SME markets, has agreed to a £22.7 million funding deal for the construction of a 3 MW gas-to-grid anaerobic digestion (AD) plant in the northeast of England.
The plant will be powered by feedstock waste from farms in the area of Newcastle, Sunderland and Gateshead.
The new plant is the latest in a series of AD plants that have been financed by Prestige Funds. Biogas plants like this play an important role in converting ‘on farm’ organic waste into green energy for use by local communities.
Prestige has approved over £60 million of new lending into the UK AD sector since the beginning of the year. As an important source of finance for the expansion of this green energy generating capacity, Prestige provides active consulting to the businesses involved in bringing AD plants online and managing their ongoing success.
The biogas project is being financed by Privilege Development Finance, a provider of specialist asset-backed finance which is part of the Prestige/Prime group of companies.
Craig Reeves, founder of Prestige, said, “We are very pleased to be playing a continuing role in the financing of important green energy projects around the UK.”
Smaller businesses in the UK in rural areas, including farms, are turning to alternative energy sources to help them cope with rising electricity prices. Biogas plants like this one will help the UK government to meet its goals under the Paris Climate Change Agreement. The government is already planning a national food waste distribution network that will help to power the network of AD plants as it furthers the country’s low carbon ambitions.