Press

C-Quest launches carbon project fund

Point Carbon

C-Quest Capital has started a carbon fund that will invest primarily in CDM projects.

The fund will target its investments in wind, hydro and solar photovoltaic energy projects, said Matthew Mendis, managing director of the US-based carbon finance firm.

“We are focussing on projects that provide clean development mechanism (CDM) credits that have strong social benefits,” said Mendis.

The firm will also grow its programmatic CDM portfolio that focusses on the installation of compact fluorescent light bulbs (CFLs).

C-Quest recently launched a lighting efficiency project in India, which installed compact fluorescent bulbs in housing for the country's railway workers.

“We are expanding our programmatic CDM platform in CFLs as well as embarking on energy efficient stoves in Africa,” Mendis said.

Beyond CDM

While the fund will focus on the CDM, it will also invest in projects outside of the UN mechanism in the voluntary markets.

“We will focus our investments to develop fungible credits for the post-2012 markets," said Mendis.

The fund’s initial geographic focus will be on projects in southern Asia, southeast Asia and Latin America.

It will forgo investments in the US voluntary and pre-compliance offset market given the delay in federal climate legislation.

“We are not initially looking at investments in the US, but will continue to monitor the regulatory developments and position ourselves to capitalise on this market as it evolves,” said Mendis.

The size of the fund was not disclosed.

By Kim Moore – kmo@pointcarbon.com

Washington DC