Investors ramp up UK AD consolidation

Investors including Foresight Group, JLEN and Ancala Partners are stepping up their consolidation of the UK anaerobic digestion market, driven both by the attractive returns on offer and an absence of the type of competition seen in solar PV and onshore wind. There is also an opportunistic element to recent AD activity, with many operational assets trading at a discount because assumptions have come in lower than in people’s business models. Finally, the recently sweetened renewable heat incentive (RHI) tariff could lead to the build-out of a wave of new projects in the coming years, presenting further growth opportunities 

Tagged as: Analysis, UK