British International Investment

Southeast Asia Clean Energy Fund II

Rest of the World

Southeast Asia Clean Energy Fund II (SEACEF II), managed by Clime Capital, invests in clean energy projects and businesses in Southeast Asia. The Fund has raised USD 127 million in first close, backed by DFIs, philanthropic and private investors

Our investment

Description of the investment.

SEACEF II will deploy early-stage capital to renewable energy platforms, distributed energy, energy efficiency, electric mobility, and grid management at an early-stage, high-risk development phase. It operates across the ASEAN region with a core focus on Indonesia, Vietnam, and the Philippines. The fund’s investment strategy addresses the funding gap for new and innovative players for clean energy transitions. With anchor investment from DFIs, the fund will introduce technologies to the region and take risks on innovative business models with high growth potential to achieve both climate impact and commercial returns.

Impact information

Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.

What?

Impact

Accelerate climate mitigation by mobilising private capital into innovative clean energy business models that support decarbonisation.

How?

Primary Secondary

Demonstrate to the market that the targeted innovative business models can achieve both climate impact and commercial returns, deepening capital markets and achieving decarbonisation at scale.

Avoid or reduce greenhouse gas emissions by investing in grid-level and captive renewables, distributed energy businesses, energy storage, energy efficiency, electric mobility, and demand-side and grid management.

Who?

Stakeholder Geography Characteristics
Planet

Global

N/A

How much?

Scale Depth/Duration

N/A

Depth: Impact is expected to be deep based on high emission intensity and growth trajectory of the economies in Indonesia, the Philippines and Vietnam.

Contribution/additionality

Contribution/additionality

Financial additionality: The fund would not reach first close without substantial DFI and philanthropic commitment.

  • Mobilisation: The fund actively mobilises commercial capital to scale-up and follow-on rounds.

Risk

Execution Risk

The ambition of targeting early-stage and follow-on investments may pose risks to successful and timely execution, as well as meaningful investee support in line with strategy.

Alignment Risk

Related to the risk that capital may be deployed outside of our markets. Approximately 90 per cent of capital expected to go to Indonesia, Philippines and Vietnam. The fund manager has confirmed no appetite for use of proceeds outside of BII's geographies.

Environmental and social information

  • Environmental and social summary

    A high-level description of the environmental and social aspects of the investment. This may include a summary of key environmental and social risks identified during environmental and social due diligence (ESDD); key elements of an environmental and social action plan (ESAP); or ways in which we plan to support the investee improve environmental and social standards, such as through their environmental and social management system (ESMS); as well as any other priority areas agreed with the investee.

  • Environmental and social risk

    A risk category rating, which indicates the level of environmental and social risk associated with an investment. For an explanation of the categorisations used, see here. We consistently provide an environmental and social risk category for all investments screened from 2023 onwards.

Environmental and social summary

Together with other development finance institutions, we agreed an environmental and social action plan with the GP that focuses on the fund's ESMS and management of key risks, such as human rights risks in portfolio company supply chains, safeguarding and physical climate risks.

Environmental and social risk

Medium-High

Reporting and Complaints Mechanism

The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.

For any other general enquiries contact us at [email protected]

  • Key facts

    First published

    When the investment was first published on the website database.

    :
    March 2024
    Last updated

    When the last quarterly update of the website database occurred.

    :
    March 2024
    Project number

    An identifier number shared by investments in the same project.

    :
    D6124
    Status

    The current status of the investment (green flag for active and red flag for exited).

    :
    Active
    Region

    The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.

    :
    Rest of the World

    We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.

    For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.

    For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.

    For direct equity investments, this is the date at which British International Investment exited the investment.

    For debt investments, this is the date at which the final debt repayment was made.

    For funds, this is the date at which the fund was terminated.

    For underlying fund investments, this is the date at which the fund manager exited the investment.

    The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.

    For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.

    The currency in which the investment was made.

    Investment type :
    Fund
    Start date :
    December 2023
    Amount :
    $13.5m
    Currency of investment :
    USD
    Fund Manager:
    Clime Capital Management Pte. Ltd.
    Domicile

    The company or investment fund’s place of incorporation.

    :
    Singapore
    Climate finance

    Indicates whether the investment is climate finance qualified or partially climate finance qualified and the type of climate finance (adaptation, mitigation or both). We define climate finance using the multilateral development bank (MDB) and the International Development Finance Club (IDFC) Common Principles climate finance methodology. See Common Principles for Climate Mitigation Finance Tracking and Common Principles for Climate Change Adaptation Finance Tracking. We provide the climate finance qualification and type for commitments from 2020 onwards, which is when we launched our Climate Change Strategy.

    :
    Fully qualified
    Climate finance type:
    Mitigation
    2X Gender Finance

    Indicates whether the investment is ‘2X qualified’ using the 2X Challenge criteria. You can find out more here. It only applies to investments made from 2018 onwards, when the 2X Challenge was first launched.

    :
    Fully qualified

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