- EIF committed €200 million to Copenhagen Infrastructure Partners’ Advanced Bioenergy Fund II, which targets €1.5 billion for European biomethane and advanced bioenergy projects.
- The fund will finance industrial-scale biogas plants across markets including Denmark, Ireland, Spain, Belgium, and Finland.
- Backed by InvestEU and REPowerEU, the investment supports Europe’s push to cut fossil fuel imports, strengthen energy security, and scale domestic renewable gas.
EIF Backs New Bioenergy Fund
Europe’s renewable gas market gained fresh institutional backing as the European Investment Fund committed €200 million to Copenhagen Infrastructure Partners’ Advanced Bioenergy Fund II.
The fund, known as ABF II, has officially launched with EIF as a cornerstone investor. It targets €1.5 billion to scale biomethane and advanced bioenergy production across Europe.
The investment is backed by the European Union’s InvestEU and REPowerEU initiatives. That places the fund directly inside Europe’s wider policy push to raise domestic renewable energy production and reduce reliance on imported fossil fuels.
Copenhagen Infrastructure Partners, one of the world’s largest clean energy infrastructure fund managers, will use the fund to invest mainly in new industrial-scale biogas plants. These projects will use anaerobic digestion to convert manure and other agricultural waste into biomethane.
That renewable gas can then support decarbonisation in harder-to-abate sectors, including industry and maritime transport.
“This investment reflects Europe’s growing focus on renewable gases and sustainable energy infrastructure,” says EIF Deputy Chief Executive Merete Clausen. “By supporting the development of new biogas projects across Europe, we are helping increase domestic renewable energy production, strengthen energy security and accelerate the green transition.”
Biomethane Moves Into Energy Security Strategy
The fund will focus mainly on greenfield projects in Denmark, Ireland, Spain, Belgium, and Finland. CIP said ABF II will benefit from a pipeline of new bioenergy projects that are ready for development.
For investors, that pipeline provides clearer visibility on capital deployment and project delivery. For policymakers, it supports a more urgent goal: building energy systems that are less exposed to imported fossil fuels.
Biomethane has gained attention because it is compatible with existing gas infrastructure. That gives it a practical advantage over some emerging fuels, since it can be integrated into current networks while supporting industrial decarbonisation.
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ABF II follows CIP’s first Advanced Bioenergy Fund. The new fund reflects growing investor interest in advanced bioenergy as Europe links climate policy with energy security and industrial resilience.
The strategy also fits with the EU’s aim to build a more robust and integrated capital market. ABF II has already attracted a mix of public and private capital, showing that institutional investors continue to see energy transition infrastructure as a core allocation theme.
CIP Targets Industrial-Scale Growth
With a €1.5 billion target, ABF II is designed to make a significant contribution to Europe’s renewable energy production. Its projects will operate in markets with regulatory frameworks that support long-term growth at EU and national level.
Thomas Dalsgaard, Partner in CIP and head of the advanced bioenergy team, says: “We are very pleased to close the investment of EUR 200 million with EIF. It is an important step for the Advanced Bioenergy Fund II on its path towards the EUR 1.5 billion target, and we very much look forward to the partnership with EIF. We see strong market demand for the production of domestic biomethane across Europe and with the Advanced Bioenergy Fund II, and the existing portfolio of greenfield bioenergy projects, CIP is well positioned to deliver.”
CIP has raised more than €37 billion and manages projects in more than 30 countries. Its scale gives ABF II access to development expertise, project pipelines, and institutional capital across multiple markets.
What Executives And Investors Should Watch
For C-suite leaders, the fund points to a more practical phase in Europe’s energy transition. Capital is moving into assets that address climate targets, supply risk, waste management, and industrial fuel demand at the same time.
For investors, ABF II shows how public-backed finance can anchor private capital in sectors that need scale. It also highlights the growing role of renewable gases in transition portfolios.
Europe’s energy security debate is no longer only about replacing lost supply. It is also about building domestic systems that can support climate policy, industrial competitiveness, and strategic autonomy. ABF II places biomethane firmly inside that agenda.
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