The Australian Retirement Trust (ART) has invested nearly $1 billion in the renewable energy-focused Macquarie Green Energy and Climate Opportunities Fund (MGECO).

The numbers: The investment is part of the superannuation fund’s commitment to invest at least $2 billion by 2030 in assets that can generate returns while delivering social and environmental benefits.

ART manages $350 billion in retirement savings on behalf of more than 2.4 million Australians.

The context: Aside from climate change, ART’s $2 billion impact investment commitment will also flow to other priorities, which could include health, social housing and aged care sectors.

MGECO was established by Macquarie Asset Management in 2024 with initial backing from British pension funds LGPS Central and Border to Coast Pensions Partnerships as well as UniSuper, which invested more than $600 million at the time.

The portfolio includes Aula Energy, which is developing renewable energy projects in Queensland, South Australia and Western Australia. Its flagship project is the Boulder Creek Wind Farm near Rockhampton, Queensland.

What they said: “MGECO will initially target investment opportunities across solar, onshore and offshore wind, and batteries in OECD countries including Australia,” ART’s general manager of mid risk assets and UK Michael Weaver said.

“To the extent that commercial scale can be achieved, it may also target other technologies such as hydro and geothermal, bioenergy and energy storage, or natural climate solutions.

“The primary investment objective of MGECO is to make equity and equity-like investments in a diversified portfolio of sustainable infrastructure, real assets and businesses.”