Birmingham - LGPS Central's partner funds include the West Midlands Pension Fund. Credit: iStock
LGPS Central has expanded its infrastructure co-investment strategy with an investment in Low Carbon Limited.
The pool said it had partnered with CVC DIF to co-invest in Low Carbon, a vertically integrated renewables power producer operating across the full development lifecycle, from planning and land acquisition through to construction and operational management.
Low Carbon was founded in 2011 and has grown to become one of Europe's major renewable energy platforms, with projects spanning solar, onshore wind, and battery storage across multiple countries.
A central feature of Low Carbon's model is its regulated, government-backed income profile through contracts for difference (CfDs). As one of the UK's largest recipients of CfDs, the platform offers predictable, long-dated cashflows and plays a significant role in the UK's renewable energy supply.
LGPS Central said this income structure de-risks the opportunity and underscores the strategic importance of the company within the market.
The pool said the investment aligns directly with its wider infrastructure strategy, which emphasises productive real assets, resilience, and the long-term transition to a low-carbon economy.
LGPS Central has historically partnered with CVC DIF, with commitments across private credit and infrastructure, and this latest investment represents the development of a growing co-investment portfolio.
With over £2bn allocated to infrastructure, LGPS Central said it continues to target assets that support the UK's energy transition, strengthen domestic energy security, and deliver tangible economic benefits at sector level.
LGPS Central head of private markets Nadeem Hussain said: "This investment sits at the heart of our infrastructure strategy. Low Carbon's vertically integrated model and strong contract profile provide the kind of long-term, productive exposure we seek for our partner funds. At the same time, it supports the UK's transition to clean energy, contributing to national resilience and the development of a modern, sustainable power system."
He added: "Our partner funds want assets that deliver strong, stable returns alongside broader system benefits, and this opportunity achieves both. We are pleased to expand our relationship with the manager and continue building a diversified portfolio of energy transition assets."
