Announcement of Interim Results
Summary by AI BETAClose X
7 August 2026
The Renewables Infrastructure Group Limited
The Renewables Infrastructure Group Limited ("TRIG" or "the Company") is a London-listed renewable energy investment company. TRIG creates shareholder value through a resilient dividend and long-term capital growth, underpinned by a diversified portfolio of renewable energy infrastructure that is actively managed by specialist investment and operations managers.
Announcement of Interim Results for the six months to 30 June 2026
Disciplined capital allocation and balance sheet management:
|
· |
Strong start against £400m capital realisation target, with an agreement signed in July 2026 to divest of TRIG's 17.5% stake in the Beatrice offshore wind farm for c. £155m. Further divestment processes are underway. |
|
· |
Issuance of £200m of private placement debt, announced February 2026, at a blended 5.23% interest rate, maintaining low interest rate risk and low refinancing risk, and terming out a significant portion of the TRIG's Revolving Credit Facility ("RCF"). Approximately 90% of TRIG's debt is long term, fixed rate and amortising. |
|
· |
Capital realised will be deployed in line with the Board's capital allocation priorities of reducing RCF borrowings, returning capital to shareholders and investing into higher-returning proprietary internal investment opportunities within TRIG's existing portfolio, with buybacks providing a hurdle rate for new investments on a risk-adjusted basis. |
|
· |
TRIG's RCF balance as at 30 June 2026 was £276m, with disposal proceeds to be applied principally to reduce this balance further. Long-term gearing represents 39% of look-through enterprise value,1 once the announced disposal is completed. |
Resilient cash generation and dividend cover:
|
· |
Net dividend cover restored to 1.1x for H1 2026, in line with TRIG's long-term target and up from 1.0x for 2025. Net dividend cover is stated after the scheduled repayment of £111m of project-level debt for the half year and is supported by £209m of operational cash generation. Gross cash cover before debt amortisation was 2.3x for the half year. |
|
· |
2026 dividend target reaffirmed at 7.55p per share, representing a c. 10% dividend yield at the current share price.2 |
|
· |
Strong revenue visibility with 64%3 of portfolio revenues fixed per MWh over the next ten years. |
|
· |
Net Asset Value ("NAV") per share of 101.1p (31 December 2025: 104.0p), a reduction of 2.9p over the period, driven primarily by a mechanical flow through of a reduction in third-party revenue price forecasts. |
|
· |
At the current share price, and subject to meeting the capital realisation target, the Board expects to continue to buy back the Company's shares beyond the current £150m programme, of which £123m had been deployed at 6 August 2026 having repurchased 158 million shares. |
Delivering strategic progress:
|
· |
Active portfolio management delivered £8m of value enhancing commercial and operational initiatives during the period, principally from revenue management activities. |
|
· |
Build-out of TRIG's development pipeline continues to progress, with c. 200MW in construction. The Ryton battery project is expected to be energised in autumn 2026, while the repowering of Cuxac onshore wind farm in France is progressing well with the new, higher-capacity turbines now being installed on site. |
|
· |
2.3GW diversified portfolio produced 2.9TWh of renewable electricity in the period, demonstrating TRIG's significant contribution to the energy transition. |
|
· |
Continuation vote passed with a 99.3% majority, demonstrating strong shareholder support for TRIG's strategy. |
1. As at 30 June 2026, long-term gearing represented 41% of look-through enterprise value.
2. Referenced to TRIG's 78.1p share price as of 5 August 2026.
3. Based on the portfolio composition following completion of the Beatrice disposal.
Enquiries
InfraRed Capital Partners Limited +44 (0) 20 7484 1800
Minesh Shah
Phil George
Mohammed Zaheer
Brunswick +44 (0) 20 7404 5959 / TRIG@brunswickgroup.com
Charles Malissard
Investec Bank Plc +44 (0) 20 7597 4000
Lucy Lewis
Tom Skinner
BNP Paribas +44 (0) 20 7595 9444
Virginia Khoo
Carwyn Evans
Notes
The Company
The Renewables Infrastructure Group Limited ("TRIG" or "the Company") is a London-listed renewable energy investment company. TRIG creates shareholder value through a resilient dividend and long-term capital growth, underpinned by a diversified portfolio of renewable energy infrastructure that is actively managed by specialist investment and operations managers.
TRIG is invested in a portfolio of wind, solar and battery storage projects across six markets in Europe with a net operational capacity of 2.3GW. In 2025, the portfolio generated enough renewable electricity to power the equivalent of 1.6 million homes and to avoid 1.8 million tonnes of carbon emissions per annum.
Further details can be found on TRIG's website at www.trig-ltd.com.
Investment Manager
InfraRed is a leading international mid-market infrastructure asset manager. Over the past 25 years, InfraRed has established itself as a highly successful developer, particularly in early-stage projects, and an active steward of essential infrastructure.
InfraRed manages US$13bn of equity capital1 for investors around the globe in listed and private funds across both core and value-add strategies.
InfraRed combines a global reach, operating worldwide from offices in London, Frankfurt, Madrid, New York, Miami, Sydney and Seoul, with deep sector expertise from a team of more than 160 people.
InfraRed is part of SLC Management, the institutional alternatives and traditional asset management business of Sun Life, and benefits from its scale and global platform.
For more information, please visit www.ircp.com.
1 Uses five-year average FX as at 31 December 2025. GBP/USD of 1.2900; EUR/USD of 1.1125. EUM is US$13.3bn.
Operations Manager
TRIG's Operations Manager is RES ("Renewable Energy Systems"). RES is the world's largest independent renewable energy company, working across 24 countries and active in wind, solar, energy storage, biomass, hydro, green hydrogen, transmission, and distribution. An industry innovator for over 40 years, RES has delivered more than 29GW of renewable energy projects across the globe.
As a service provider, RES has the skills and experience in asset management, operations and maintenance (O&M), and spare parts - supporting 45GW of renewable assets worldwide. RES brings to the market a range of purposeful, practical technology-based products and digital solutions designed to maximise investment and deployment of renewable energy. RES is the power behind a clean energy future where everyone has access to affordable zero carbon energy bringing together global experience, passion, and the innovation of its 4,500 people to transform the way energy is generated, stored and supplied.
Further details can be found on the website at www.res-group.com.
Chair's Statement
The Renewables Infrastructure Group's strategy is focused on offering shareholders a compelling total return proposition underpinned by resilient income. Our H1 2026 underlying portfolio performance demonstrates progress against this. Looking ahead, I am confident that we will maintain this strategic momentum through active management of our diversified portfolio, disciplined capital allocation and by reinvesting into higher-returning proprietary opportunities that are funded through retained cash, debt capacity and portfolio rotation.
At TRIG's 2026 Annual General Meeting, the Company held its first continuation vote, which passed with a 99.3% majority. This demonstrates strong shareholder support for the strategy we set out at our Capital Markets Seminar in May 2026, when we articulated our disciplined approach to capital allocation and the Managers detailed the key levers to support resilient income generation and long-term capital growth creation. I would like to extend my thanks to our shareholders for their support and extensive engagement.
While the share price discount to NAV has narrowed in the first half of the year, it remains elevated, and we continue to take action to support a sustainable share price recovery. In May 2026, a clear capital realisation target was set of £400m over the subsequent 12 months to May 2027, principally from asset disposals and complemented by modest debt issuance. We are pleased with the strong start made against this objective, having signed an agreement to sell TRIG's 17.5% stake in the Beatrice offshore wind farm for c. £155m. The sale process benefited from price competition from a number of bidding parties. Nonetheless, the market for asset sales remains challenging. Further divestment processes are underway.
Capital realised will be deployed in line with the Board's capital allocation priorities of reducing RCF borrowings, returning capital to shareholders and investing in higher-returning proprietary internal opportunities within TRIG's existing portfolio. The Board remains focused on disciplined capital allocation to drive shareholder returns and will continue to consider carefully the right balance between retaining capital for accretive growth and returning capital to shareholders through dividends and share buybacks. At the current share price, and subject to meeting the capital realisation target, the Board expects to continue to buy back the Company's shares beyond the current £150m programme, of which £123m had been deployed at 6 August 2026 having repurchased 158 million shares.
The resilience and robustness of TRIG's underlying business model is reflected in our Interim Results for the first half of the year, with £209m of operational cash generated,1 which restores net dividend cover to 1.1 times in line with our long-term target. Net dividend cover is stated after the scheduled repayment of £111m of project-level debt for the half year. Gross cash cover before project-level debt repayment was 2.3 times. The structure of TRIG's balance sheet remains conservative with long-term debt representing 39% of enterprise value, once the announced disposal is completed. Approximately 90% of debt across the Group is fixed interest rate and amortising over the period of fixed-price revenues. TRIG's RCF balance as at 30 June 2026 was £276m, with £155m disposal proceeds from the sale of Beatrice expected in H2 2026 to be applied principally to reduce this balance further.
The Board remains committed to delivering resilient income to shareholders and I am pleased to reaffirm the dividend target for 2026 of 7.55p per share, which represents a c. 10% dividend yield at the current share price.2
The Company's NAV per share as at 30 June 2026 was 101.1p, a 2.9p reduction to the 31 December 2025 NAV, driven principally by the mechanical flow through of reductions in third-party revenue price forecasts from both projected power prices (including the UK Government's announcement of the early removal of Carbon Price Support in April 2026) and green certificate income across all countries in which TRIG has investments. While power prices are currently elevated, commodity market pricing assumes swift resolution of the conflict in the Middle East. In the medium term, independent forecasters expect greater US gas supply to result in lower gas prices and also faster renewables build-out reducing the price captured by renewables generators. Earnings per share for the period was 0.1p, reflecting the movement in portfolio valuation.
There have been two policy announcements in the UK in 2026 that are potentially helpful for renewables valuations but are yet to be reflected in the portfolio valuation. Power price forecasts do not yet include the potential benefit from the high volume of long-duration storage contracts expected to be awarded in the UK, which could increase the price captured by renewables generators. TRIG's valuation does not include the potential benefit from use of the Wholesale Contract-for-Difference in the UK, which is expected to provide an additional path to fixed price revenues in the medium term.
Active portfolio management remains central to TRIG's strategy, supported by disciplined portfolio rotation and reinvestment, developing and constructing new projects, revenue management and operational enhancements. Key highlights of strategic progress made by the Managers include:
|
· |
sale of TRIG's 17.5% interest in the Beatrice offshore wind farm for c. £155m; |
|
· |
issuance of £200m of amortising private placement debt at a 5.23% interest rate, maintaining low interest rate risk and low refinancing risk, terming out a significant portion of the RCF; |
|
· |
build-out of our development pipeline, with c. 200MW in construction. The Ryton battery project is expected to be energised in autumn 2026, while the repowering of the Cuxac onshore wind farm in France is progressing well with the new, higher-capacity turbines now being installed on site; |
|
· |
placing of revenue price fixes to improve revenue visibility. In June, the Gode offshore wind farm signed a new seven-year offtake agreement with Ørsted; and in February and March, when power prices were relatively elevated, a number of projects entered into short-term price fixes for 560GWh of expected generation out to the end of 2028; and |
|
· |
progression of operational enhancements programme with blade hardware and software upgrades continuing to be rolled out across the portfolio. |
In total, value enhancement activities have added £40m to the portfolio valuation from 1 January 2025 to 30 June 2026. However, the £70m value enhancement target across 2025 and 2026 has been revised to £55m. This results from a delay in the rollout of hardware and software upgrades to turbines made by a particular manufacturer; delays to grid connection dates; and capital allocation decisions. Beyond 2026, the Managers will continue to drive value enhancements through active portfolio management, in particular from TRIG's development and construction pipeline, which is subject to capital allocation decisions.
Value enhancement activities optimise TRIG's high-quality portfolio of renewables assets located across the UK and Europe. In H1 2026, our 2.3GW portfolio of renewables infrastructure assets produced 2.9TWh of clean electricity. Of the portfolio's revenue 64%3 are fixed per MWh generated over the next ten years. Together with conservative gearing, this deliberate approach to revenue and balance sheet management is unique among listed renewables investment companies and gives the Board flexibility when evolving the strategy and maximising long-term returns for shareholders.
On 1 July 2026, the Company's investment and operations management fees were altered to be based solely on market capitalisation. This equates to a further 19% reduction in fees in addition to the 28% reduction secured by the Board in 2025. This change in fee basis further aligns the interests of the Managers with those of shareholders. The pro forma operating expenses ratio is expected to reduce to 0.83% following the implementation of the new fee basis.
Outlook
The relevance of the energy transition has never been greater with macroeconomic events and the growing adoption of energy-intensive technologies, including AI, increasing demand for secure and domestically generated electricity across the UK and Europe. Renewables and batteries remain central to this shift, reflected in the policies of governments and strategies of corporates. The UK Government's recent Call for Evidence in relation to the use of Corporate Power Purchase Agreements is aligned with TRIG's strategy and highlighted the importance of such agreements with renewables generators in achieving long-term and affordable energy resilience for corporates, independent of their additional sustainability benefits.
TRIG's portfolio provides investors with immediate access to this key megatrend as Europe's energy market accelerates towards energy security at scale. TRIG offers value and scale through its diversified portfolio and sizeable development pipeline, both of which are actively managed by two expert Managers. As set out at the Capital Markets Seminar, the TRIG Board continues to believe that the Company has the key characteristics to deliver long-term attractive value to shareholders.
Richard Morse
Chair
6 August 2026
1. On an Expanded basis. Please refer to the Financial Review section for an explanation of the Expanded basis. Operational cash flow generated is reconciled to the cash flow statements as follows: cash received from investments £118m less Company (including its immediate subsidiaries TRIG UK and TRIG UK I) expenses £20m plus project-level debt repayments £111m.
2. Referenced to TRIG's 78.1p share price as of 5 August 2026.
3. Based on the portfolio composition following completion of the Beatrice disposal.
Financial highlights
Cash flows
The Group's operational cash flow in the first half of 2026 was £209m, which represents 2.3 times cover of the £90m cash dividend paid to shareholders. Operational cash flows were used to repay £111m portfolio-level debt. After operating costs, finance costs and working capital, the Group's distributable cash flow of £99m (H1 2025: £93m) covered the cash dividend 1.1 times (H1 2025: 1.0 times).
The Group continues to benefit from limited cash flow exposure to interest rates due to fixed interest rate borrowings and limited refinancing risk across the project companies. Long-term, fixed-rate, amortising debt represents approximately 90% of debt across the Group. This comprises £1.6bn project-level debt and £0.2bn fund-level private placement debt. The project-level debt has a weighted average fixed interest rate of 3.5% and has scheduled repayments of c. £175m per annum with no refinancing risk.
Valuation
The Company's Net Asset Value as at 30 June 2026 was 101.1p per share (31 December 2025: 104.0p per share) and the Company's portfolio valuation was £2,817m. IFRS earnings for the period were +0.1p per share (H1 2025: -4.7p per share), reflecting the movement in valuation.
InfraRed and RES continue to actively manage TRIG's portfolio to reduce the impact of the macro environment and external factors on the portfolio valuation, adding c. £8m in the period to portfolio valuation including:
|
· |
technical enhancements relating to turbine software upgrades at the Grönhult wind farm in Sweden; and |
|
· |
revenue price fixes within the portfolio at favourable power prices. |
The Company's NAV reduced by 2.9p per share, principally as a result of reductions in revenue forecasts adversely impacting the portfolio valuation:
|
· |
while power prices are currently elevated, commodity market pricing assumes a swift resolution of the conflict in the Middle East. Forecasters are assuming higher gas prices over the short term, but an increased level of LNG supply expected over the medium term, primarily from the US. This is depressing medium-term gas prices and, therefore, electricity price expectations. In addition, a higher level of renewables build-out in Spain and Germany, which results in a reduction in the expected price captured by existing renewables generators; and |
|
· |
projections of revenues from green certificates in the UK and Europe continue to decline. Demand for the certificates remains muted and supply has grown as new renewables are installed. |
Other factors impacting the portfolio valuation included a short period of downtime at Hornsea One, as OFTO repair cable works were carried out, and a longer outage at the Mid Hill wind farm, as external cable works were completed. There was also a small reduction in the value of Beatrice to align the value of the project with the expected sales proceeds, reflecting the exit at a 4% discount to the previous carrying value.
Greater detail on TRIG's approach to power price forecasting is set out in the Revenue profile section on page 7 and on the valuation movements during the six months to 30 June 2026 in the Valuation of the Portfolio section on page 16.
Capital allocation
As reiterated at the Capital Markets Seminar in May 2026, the Board remains focused on disciplined capital allocation to support long-term shareholder returns and a sustainable recovery in the Company's share rating.
Responsible balance sheet management and disciplined capital allocation remain central to the Board's strategy. In May 2026, the Board set a clear target to realise £400 million over the subsequent 12 months to May 2027, principally through asset disposals and complemented by modest debt issuance. Significant progress has already been made, with an agreement signed to sell TRIG's 17.5% stake in the Beatrice offshore wind farm for c. £155m, and further divestment processes underway. With the significant reduction in debt resulting from this sale, the Board and Managers are also comfortable that the Company has the capacity to issue additional long-term debt over the next 12 months.
The Board has progressed its capital allocation priorities in the period.
|
· |
Share buybacks: Share buybacks have delivered 0.7p of NAV per share accretion in the six months to 30 June 2026 from the repurchase of 56 million shares for £39m. Buybacks at the prevailing share price are accretive to distributable cash flow per share. Buybacks also provide a clear hurdle rate for new investments on a risk-adjusted basis. Subject to progress against the capital realisation target, at the prevailing share price, the Board expects it would continue buying back the Company's shares beyond the completion of the current £150m programme. |
|
· |
Durable balance sheet: c. 90% of TRIG's debt is long-term, fixed‑rate, amortising debt comprising project-level non-recourse debt and Group-level private placement debt. The weighted average interest rate on project-level debt is 3.5%. Scheduled project-level debt repayments of £111m were made in the period, reducing the balance outstanding to £1.6bn as at 30 June 2026, which represents 36% of enterprise value. In February 2026, the Company issued £200m of amortising private placement debt, terming out a significant portion of the RCF for 12 years at an attractive average interest rate of 5.23%. TRIG's exposure to floating rate debt and refinancing risk is limited to the Company's RCF. Borrowings under the RCF were £276m at 30 June 2026, with proceeds from the Beatrice disposal expected in H2 2026 to be applied principally to reduce this balance further. The interest rate on the RCF is currently c. 4.75%, which is drawn in both Sterling and Euros. |
|
· |
Construction spend: £49m of investment was made during the period, principally relating to the construction of the Ryton and Spennymoor battery storage projects and the repowering of the Cuxac onshore wind farm. Development and construction activity remains focused on higher-returning proprietary opportunities within TRIG's existing portfolio. New investment decisions are benchmarked on a risk-adjusted basis against alternative uses of capital, particularly share buybacks. |
As at 30 June 2026, the Company had outstanding investment commitments of £93m, principally relating to the projects in construction.
|
|
H2 2026 |
2027 |
2028 |
Total |
|
Outstanding commitments (£m) |
41 |
21 |
31 |
93 |
The Managers are raising project finance against the Cuxac repowering project that is expected to be energised later this year and benefits from a 20-year inflation-linked tariff and this funding can be expected to reduce net commitments by above by c. £30m.
Investment highlights
The Investment Manager takes a careful and considered approach to portfolio construction, ensuring TRIG maintains a diversified portfolio. Investments are spread across different geographies, technologies, revenue types and project stages to mitigate risk. TRIG's pipeline of proprietary development opportunities provides a significant source of potential long-term value creation, leveraging the complementary expertise of InfraRed and RES.
The Managers continue to make good progress advancing projects through their development and construction phases.
|
· |
The 78MW Ryton battery storage project in the UK is nearing energisation. Energisation was previously reported as expected towards the end of Q2 2026; however, grid delays and a change in an electricals contractor has delayed this with energisation now expected in autumn 2026. Given the delays to the project, the project has utilised its construction contingency. |
|
· |
The 100MW Spennymoor battery storage project is reviewing its battery supply arrangements given limited progress from the existing supplier in the production of TRIG's batteries. Given the reduction in battery prices of the past 12 months, and commercial protections with the existing supplier, the Managers expect that, should the project change its battery supplier, its construction budget would remain unchanged. |
|
· |
New turbines are being installed for the repowering of the Cuxac onshore wind farm in France, with the old site having been decommissioned and new foundations and cabling in place. The repowering will increase the project's capacity from 12MW to 25MW. The repowered site is expected to be commissioned by the end of the year. The Managers continue to progress further repowering opportunities in France. |
|
· |
The development of the 200MW two-hour co-located battery at the Valdesolar project in Spain is approaching its final investment decision, which is expected to occur later in Q3 2026. Further increases in cannibalisation assumptions for Spanish solar power price forecasts have been included in the portfolio valuation, and the resulting increase in daily spread of power prices between the middle of the day and the evening, continues to underscore the investment opportunity in batteries in the region. |
|
· |
The Cadiz solar projects are also developing a 140MW four-hour co-located battery investment opportunity. The projects have applied for the associated import capacity. |
Development opportunities are assessed against alternative uses of capital, including share buybacks and debt reduction. This provides flexibility to build, retain or realise projects as market conditions evolve, ensuring capital is allocated where it is expected to generate the greatest value for shareholders.
Revenue profile
TRIG's portfolio benefits from diversification across several power markets, with projects in Great Britain, the Single Electricity Market (Northern Ireland), the main continental European power market (France and Germany), the Nordic market (Sweden) and the Iberian market (Spain).
TRIG's portfolio cash revenues have substantial medium-term protection from movements in power prices as the portfolio receives a high proportion of its revenue from government subsidies such as Feed-in Tariffs ("FiTs"), Contracts for Difference ("CfDs"), Renewable Obligation Certificates ("ROCs"), or from selling electricity generated via power purchase agreements ("PPAs") with fixed prices or from other hedges, together referred to as fixed revenues. Over the next ten years, 64% of projected revenues are fixed-price per MWh generated. Of projected revenues over the next ten years, 51% are directly linked to inflation through government-backed revenue contracts.
The Managers continue to actively manage the portfolio's revenue profile, selectively securing fixed-price arrangements when attractive opportunities arise. During the period, a number of projects entered into short-term price fixes covering 560GWh of expected generation to the end of 2028. The Gode offshore wind farm signed a new seven-year offtake agreement with Ørsted. In addition to adding c. 3% to the value of the investment, the combination of short-term revenue fixes at Gode and its new offtake agreement with Ørsted means that the project, having fully repaid its initial project finance debt, now has new debt capacity to optimise its capital structure with a financing process underway.
Power price forecasting
TRIG uses the average of three power price forecasters' projections adjusted for the lower price that a variable renewables project captures compared to a baseload generator (the resulting discount is known as cannibalisation). This means that TRIG captures the breadth of views on the evolution of the electricity market and supply-demand dynamics. This is important as these views may diverge over time.
The spread of power price forecasts has reduced in the last 12 months, principally attributable to the movements in H2 2025, as the lowest forecaster increased their forecast. At 30 June 2026, the spread between highest and lowest is of a similar magnitude to 31 December 2025, though the average sits slightly lower within the spread. The movements in the power price forecasts are more fully described in the Valuation of the Portfolio section.
The table on page 8 of the 2026 Interim Report shows the spread in portfolio value were the lowest and highest forecaster to be adopted alone (relative to the average of the three forecasters), expressed as a percentage and £m change.
The potential impact on projected returns from the spread of forecasts is shown on page 8 of the 2026 Interim Report.
Competitive forces may result in assets trading on the higher curves when there is healthy buyer competition. TRIG's approach of incorporating a range of market views through three power price forecasters and a high level of assumed cannibalisation is not adopted by all renewables investment companies, which may lead to differences in impact on portfolio valuations. Should a higher power price forecast come to pass, this could present a material upside to TRIG's projected returns as demonstrated by the sensitivities provided above.
In addition, TRIG's approach of using a more cautious average of the main forecasters means that our cash flow forecasting is undertaken on a more conservative basis, resulting in a more sustainable dividend policy. Equity investors that use one or two power price forecasts typically do not use the lowest of the three forecasters.
Foreign exchange
The Group1 receives a portion of its revenues in Euros; 41% of the portfolio by value is invested in Euro-denominated assets2 (the proportion of the portfolio invested in Euro is expected to increase to 44% following the completion of the Beatrice sale expected later in 2026), the Group employs foreign exchange hedging to significantly mitigate the cash flow and valuation exposure to this risk, as expanded upon in the Valuation of the Portfolio section on page 16.
The Investment Manager implements the Company's foreign exchange hedging policy through Sterling-Euro swaps for up to four years forward. As a result of the interest rate differential between UK and the Eurozone, forward foreign exchange contracts over the next four years have been struck at levels better, in Sterling terms, compared to the foreign exchange rate as at 30 June 2026 and used in the portfolio valuation. This carry benefit is not included in the Portfolio Valuation.
Principal risks and uncertainties
TRIG's principal risks for H2 2026, approach to risk management and counterparty exposures are unchanged to those set out in the Risk and Risk Management section of the 2025 Annual Report on page 56. TRIG continues to have four enduring principal risks with a high residual impact which are: political/regulatory risk, electricity pricing, energy yield and counterparty credit. Below is a commentary on the key movements in these risks in the period.
In a macroeconomic environment where inflation and interest rates remain uncertain, the positive correlation of portfolio returns to inflation and the Company's approach to long-term, fixed-rate and amortising structural debt are key risk mitigants.
Political/regulatory
The risk of government or regulatory support for renewables changing adversely.
The energy transition is recognised as being of critical importance across most of the European political spectrum. This has come into sharper focus over recent months with the impact of the conflict in the Middle East on global gas prices putting energy security and sovereignty at the forefront of governments' policy objectives. However, abrupt policy changes or uncertainty over direction can create adverse consequences for renewables rollout rates, demand electrification and assumptions for existing projects, in addition to increasing the cost of capital if investor confidence is undermined. TRIG and its Managers continue to engage constructively with policy makers and provide input to policy consultations to ensure investor perspectives are being appropriately considered in decision-making.
The regulatory environment in the UK has remained active. The Electricity Generator Levy was extended with the rate increased from 1 July 2026 with no valuation impact for TRIG given power price expectations are below the intervention threshold. The Carbon Price Support (UK-specific carbon tax on power generation) was removed, though this had minimal impact on TRIG's valuation. Progress on the reform of Transmission Network Use of System charges has been limited; TRIG and its Managers continue to engage actively with the ongoing DESNZ and Ofgem consultation processes. A consultation on the introduction of Fixed Price Certificates as a successor to the Renewables Obligation is anticipated in the second half of the year along with further detail on the proposed Wholesale Contract for Difference regime, which should provide an alternative source of fixed price revenues for existing operating projects.
The policy implications for the energy sector of the change in UK Prime Minister in July are at an early stage and will be monitored.
Outside the UK, the French Finance Act 2026 was released, which included provisions that could enable revisions to certain legacy solar Feed-in Tariffs, subject to implementation through ministerial order and European Commission approval. This proposal was last raised in 2021 though ultimately did not come into force. The potentially affected investments represent less than 2% of TRIG's portfolio by value. The Company continues to monitor developments and, where appropriate, will seek to protect its interests through available legal and contractual avenues as with the previous iteration of this legislative proposal. Accordingly, no provision has been recognised in the financial statements.
Electricity pricing
The risk of electricity prices falling or not increasing as expected.
In the short term, wholesale electricity prices have increased across the majority of TRIG's markets due to higher forward prices in 2026-2028, resulting from the conflict in the Middle East. Spain was relatively insulated from this effect due to the high penetration of solar capacity in the energy mix, which meant that TRIG's solar investments in the region experienced low prices in H1 though this is expected to be mitigated as co-located battery opportunities are pursued at these sites.
The principal drivers of near-term pricing include expectations of a swift resolution of the conflict in the Middle East, LNG supply into Europe and winter demand conditions. Power price forwards have increased since the period-end as the conflict in the Middle East has re-escalated. Incorporating current forwards (less cannibalisation and PPA discounts) into TRIG's valuation would add 0.5 to 1p per share to the Company's NAV.
Over the medium term, forecasters have reduced their price expectations primarily due to a moderation in forecast gas prices, reflecting a material increase in anticipated global LNG supply.
There remains an inherent risk of adverse movements in wholesale electricity prices reducing revenues in the medium to long term, which may result from higher-than-expected renewables build-out, lower-than-expected natural gas and carbon prices, and lower-than-expected electricity demand growth, amongst other factors.
These risks are partially mitigated through TRIG's power price management and portfolio diversification strategies. This includes negotiating fixed-price PPAs or other hedges that, when taken together with subsidies, results in 64% of TRIG's revenues (per unit of electricity generated) being fixed price per unit generated over the next ten years. The valuation of the Company's portfolio considered the market derived forward prices in the shorter term in conjunction with a blend of cannibalised3 power price forecast curves produced by three independent forecasters.
Energy yield
The risk that portfolio electricity production falls short of expectations.
Portfolio generation for H1 2026 was 3% below budget primarily due to a grid outage at Hornsea One in June and the extension of the outage for the Mid Hill project into Q2, in addition to ongoing repair campaigns at Southern France onshore wind sites that were delayed from the winter due to adverse weather conditions. This was partly offset by higher than budget generation across our UK wind portfolio, demonstrating the benefit of diversification.
TRIG's approach to geographic and technology diversification remains key to mitigating the risk of lower generation in a subset of the portfolio. As TRIG's battery portfolio comes online, energy yield risk on portfolio cash flows is expected to be further mitigated.
Counterparty credit
The risk of failure of a major supplier.
TRIG's portfolio is weighted towards wind-power assets, a sector that is dominated by a small number of equipment manufacturers. Counterparty failure could result in equipment not being supplied to construction projects, or operational and maintenance services to commissioned projects not being provided or being disrupted.
Construction activities are limited by TRIG's Investment Policy cap of 25% of portfolio value and were 9% of portfolio value at 30 June 2026 (30 June 2025: 7%).
Construction projects are principally in the battery storage sector where there is a wider range of equipment suppliers compared to the wind sector. The Ryton battery project has replaced an electricals contractor. Taken together with the delay to the grid connection, the project has utilised its construction contingency.
The 100MW Spennymoor project is reviewing its battery supply arrangements given limited progress from the existing supplier in the production of TRIG's batteries. Given the reduction in battery prices of the past 12 months, the Managers expect that, should the project change its battery supplier, its construction budget would remain unchanged.
The increase in independent operations and maintenance service suppliers reduces dependence on the original equipment manufacturers, particularly with respect to onshore technologies.
Market developments
UK
Following the UK Government's decision in July 2025 to maintain a single national electricity price rather than split Great Britain into regional zones, the government, the regulator and the system operator, NESO, issued consultations on various topics under a "Reformed National Pricing" framework. Consulted areas include how electricity is balanced and dispatched, and how to provide efficient investment signals.
Government support for generation and storage assets continued with several developments in the period.
|
· |
For new generating assets the Contracts for Difference ("CfD") auction (Allocation Round 7) secured 14.7GW of new capacity, lengthened the contract term from 15 to 20 years, and was extended to include repowered plants, for which existing TRIG assets may be able to participate in future auctions. |
|
· |
For existing generating assets, a new Wholesale CfD is also being developed as part of the government's wider reforms. This would allow existing, already-built renewable projects to lock in a fixed price for a portion of their output. TRIG's valuation does not include the potential benefit from use of the Wholesale Contract-for- Difference in the UK, which is expected to provide an additional path to fixed-price revenues in the medium term. |
|
· |
In June 2026, Ofgem gave its provisional backing to the first 16 projects under a new scheme (the Long-Duration Electricity Storage, or "LDES", Cap and Floor regime) designed to support flexible technologies such as pumped-hydro and long-duration batteries that can store power for many hours. These projects can shift renewable output from times of surplus to times of scarcity, lifting the average price that wind and solar farms receive. TRIG's power price forecasts do not yet include the potential benefit from the high volume of long-duration storage contracts expected to be awarded in the UK, which could increase the price captured by renewables generators. |
Additionally, the government confirmed that a UK-specific carbon tax on power generation (the Carbon Price Support) will be removed from April 2028, which is earlier than was previously expected. This tax currently raises the cost of running gas-fired power stations and gas often sets the wholesale electricity price; therefore, its removal is expected to put some downward pressure on wholesale power prices. This change has been reflected in the portfolio valuation.
Looking ahead, the government's final assessment of the market reforms and the first national plan for where new energy infrastructure should be built are both due late in 2026. Changes in leadership of the Labour Party and government ministries are not expected to change the overall direction of travel, which remains constructive for renewables, and the Managers continue to engage with government to help ensure investor confidence is maintained, while delivering a fair energy transition.
Europe
In March 2026, the EU wrote into law a binding target to cut net greenhouse gas emissions by 90% compared to 1990 levels by 2040, with a review of its carbon market ongoing. This confirms the long-term need for more renewable generation across the European countries in which TRIG invests.
Two broader measures also took effect: a carbon border charge on imported goods (began on 1 January 2026) and the EU's Grids Package (agreed in December 2025), which set out steps to speed up the expansion and modernisation of electricity networks. Faster grid build-out should, over time, reduce the periods when projects are curtailed, supporting both output and revenues in the portfolio.
The French Finance Act 2026 included provisions that could seek to retroactively change contracted Feed-in Tariffs for older solar plants. This seeks to resurrect action that the French Government sought to implement in 2021, which was annulled by the Conseil d'Etat and ultimately resulted in no change at that time. The measure is subject to implementation through a ministerial order and clearance from the European Commission. The investments that could potentially be the target of such action represent less than 2% of TRIG's portfolio by value. TRIG has communicated to the French Government that it would pursue both domestic and international avenues to seek remedy for any impact of such action, including protection under the Energy Charter Treaty, and as such, no provision has been recognised.
Following the major blackout on the Iberian peninsula in April 2025, Spain has been reinforcing its rules on grid stability and system security, and is expected to launch a national Capacity Market during 2026 to pay generators and storage for being available when the system needs them. This is supportive for TRIG's plans to co-locate batteries alongside existing solar investments in Spain.
The EU continues its review of its Emissions Trading Scheme. Its current position indicates a slower reduction in carbon emissions, which could reduce the cost of carbon and lower future power prices. However, this could be in part offset by a greater emphasis on electrification, which could lead to greater demand for electricity and therefore support future power prices.
Looking forward, the European Commission's Electrification Action Plan, published on 17 July 2026, which aims to double electricity's share in the final energy consumption mix from 23% to 46% by 2040 is a demonstration that attention needs to be given to transitioning not just the generation base but investing in grid infrastructure and moving economic demand from fossil fuels to electricity, which is expected to be positive for renewables generators including TRIG as greater demand will provide support to power prices achieved.
1. The Company, TRIG UK, TRIG UK I and its portfolio of investments are known as the "Group".
2. Including Sweden, which receives electricity revenues from Nord Pool in Euros.
3. Cannibalisation describes the effect that renewables (an intermittent generator) can have on the overall power prices, whereby the marginal cost of generation, which in turn drives the power prices, is lower than the average that would be expected of a continuous base load generator as a result of the additional supply when renewables are generating. Rates differ over time and between markets but all are affected.
Operations report
|
Technology |
Region |
Net capacity (MW) |
H1 2026 Electricity production (GWh)1 |
Performance vs. Budget |
|
Onshore wind |
UK |
547 |
731 |
+5% |
|
France |
247 |
212 |
-18% |
|
|
Sweden |
401 |
449 |
-11% |
|
|
Offshore wind |
GB |
376 |
753 |
-2% |
|
Germany |
179 |
330 |
+2% |
|
|
Solar |
GB, France |
156 |
86 |
0% |
|
Spain |
363 |
332 |
-5% |
|
|
Total |
2,269 |
2,894 |
-3.1% |
|
The financial performance of the portfolio in H1 2026 was robust. Overall, revenues across the portfolio were 2% below budget for the half year. Revenues were impacted by generation across the portfolio being 3% below budget, principally as a result of a grid outage at Hornsea One in June and the extension of the outage for the Mid Hill project into Q2, substantially offset by above budget power prices captured.
Asset enhancements continued to be rolled out across the portfolio, with notable additions to the UK onshore portfolio where aerodynamic improvements were fitted to blades, and in Sweden where software upgrades allow some wind turbines to operate at higher wind speeds than before. Cumulative value enhancements across 2025 and H1 2026 total £40m. The 2025-2026 target has been revised to £55m (from £70m). This is the result of a delay in the rollout of third-party hardware and software upgrades to turbines made by a particular manufacturer; delays to grid connection dates; and capital allocation decisions. Initiatives being progressed that could add c. £15m to portfolio value in H2 2026 include the final investment decisions for the repowering of the Claves onshore wind farm in France, the Valdesolar battery co-location in Spain and the Templeton greenfield battery in the UK, each being subject to capital allocation decisions; as well as further revenue management activities. Beyond 2026, the Managers will continue to drive value enhancements through active portfolio management; in particular from TRIG's development and construction pipeline, which will, therefore, be subject to the Board's capital allocation decisions at the time.
Onshore Wind
UK
Revenues for the UK onshore wind portfolio were ahead of budget as a result of good generation and elevated power prices, despite grid down time for the Rothes One, Rothes Two and Mid Hill projects.
Grid downtime to enable repairs or improvements to the UK's grid system by the various grid owners caused localised curtailment and outages. In the period, the substation servicing both the Rothes One and Two projects was subject to curtailment following a third-party transformer failure, which reduced export capacity; TRIG is pursuing an insurance claim to recover lost revenues. In addition, the Mid Hill project was subject to an outage on the network from late 2025 into mid 2026. TRIG is working with its Mid Hill operational partner to secure an alternative export route through a cable bypass to lessen future impacts.
The Operations Manager continues to actively manage technical and commercial arrangements within the region.
|
· |
Upgrades to an aviation radar system at one site have been successfully implemented, enabling operational restrictions to be lifted. |
|
· |
Aerodynamic enhancements to wind turbine blades to increase production from each turbine has progressed at a number of UK sites. |
|
· |
Novel control system improvements to dynamically alter the direction each individual wind turbine faces to increase overall generation from the site as a whole has been progressed at one UK site. |
|
· |
Utilising high-frequency data to detect potential faults early and enable deployment of pro-active maintenance intervention to reduce downtime. This enhancement was applied across TRIG's onshore wind portfolio beyond the UK. |
|
· |
In the older Northern Irish portfolio, the Operations Manager is undertaking a pro-active component replacement programme before failures occur to reduce downtime. |
|
· |
The ten-year Virgin Media corporate PPA with the Earlseat and Garreg Lwyd wind farms commenced in the period. |
France
Revenues in France were below budget due to generation levels, partly mitigated by above-budget electricity prices for market-linked projects. The mature Southern French sites have been impacted by a challenging winter where weather impeded access to the sites to undertake component replacements. These works are now complete with pro-active maintenance on high-risk areas underway over the low-wind summer months to improve technical performance.
Regulatory changes in France have required government revenue contracts to be amended to require generators to participate in ancillary services, including the new balancing market, and to curtail generation during negative price periods. Work continues to ensure all sites are able to access the additional revenue stream and participate in providing balancing services.
The process to re-secure the environmental permit for the Vannier onshore wind farm is underway with the application progressing through the regional approvals process. The Operations Manager is targeting H1 2027 to return the wind farm to operations and commercial protections remain in place.
Sweden
Revenues for the Swedish portfolio were above budget driven by higher captured electricity prices resulting from lower hydroelectricity storage levels, partially offset by low generation due to low wind speeds.
At the Grönhult wind farm, the operational parameters have been upgraded to widen the operating window of the plant and enable the project to generate in higher wind speeds, to deliver higher production levels.
Offshore Wind
GB
Revenues for the UK offshore wind portfolio were below-budget due to grid downtime for the Hornsea One project.
Hornsea One experienced an uncompensated grid outage in June relating to grid reinforcement works. The project team worked with the grid operator to reduce the downtime to 19 days, during which additional site maintenance works were performed to coincide with the outage.
Hornsea One also completed the validation of its Power Boost enhancements, which increases production by adjusting the blade positioning at certain wind speeds.
At Sheringham Shoal, pay-as-produced power price fixes were executed for 40% of generation for the Winter 2026 season with Danske and Statkraft, delivering greater revenue certainty. Sheringham has also completed a major technical project to pro-actively repair or replace older major components as well as a project to improve accessibility of the wind turbines from the offshore service vessels. The availability of the asset has improved since this work was completed. Sheringham now also holds a significant major component spare parts inventory.
Germany
The German offshore wind portfolio was impacted by below budget wind resource in the period.
At Gode, following the end of the initial government-backed fixed-price tariff and the final repayment of the project's initial project finance debt, a new seven-year PPA was executed with Ørsted to reduce the project's merchant price exposure and increase its gearing capacity going forward.
GB solar
The GB solar portfolio achieved budget revenue despite ongoing upgrade works and storm damage to assets in the south west where repairs are now mostly complete and insurance claims are being pursued for costs and lost revenue.
The upgrades reflect the maturing age of these sites, and include module replacement works, which were evaluated as economically accretive, works to protect structural integrity of frames and cable re-stringing to maintain performance.
The UK portfolio also renewed its spare parts agreement with RES that provides preferential access to a locally held spares warehouse, a service that was used more than 250 times in the past three years, reducing potential revenue loss through improved spare part lead times.
France solar
In France, upgrade works are progressing to revamp older sites that benefit from FiT contracts.
The French Finance Act 2026 included provisions that could seek to retroactively change contracted Feed-in Tariffs for older solar plants. This seeks to resurrect action that the French Government sought to implement in 2021, which was annulled by the Conseil d'Etat and ultimately resulted in no change at that time. The measure is subject to implementation through a ministerial order and clearance from the European Commission. The investments that could potentially be the target of such action represent less than 2% of TRIG's portfolio by value. TRIG has communicated to the French Government that it would pursue both domestic and international avenues to seek remedy for any impact of such action, including protection under the Energy Charter Treaty, and as such, no provision has been recognised.
Spain solar
The Spanish solar portfolio was impacted by low power prices in the region. TRIG intends to co-locate batteries at both investments in Spain, which is expected to materially improve the revenues achieved in the region in the future - see below for more detail.
Development and Construction
|
· |
The 78MW Ryton battery storage project in the UK is nearing energisation. Energisation was previously expected towards the end of Q2 2026; however, grid delays and a change in an electricals contractor has delayed this with energisation now expected in autumn 2026. Given the delays to the project, the project has utilised its construction contingency. |
|
· |
The 100MW Spennymoor battery storage project in the UK has now commenced construction with the main civils works for the battery and inverter platforms underway. The project is reviewing its battery supply arrangements given limited progress from the existing supplier in the production of TRIG's batteries. Given the reduction in battery prices of the past 12 months and commercial protections with the existing supplier, the Managers expect that should the project change its battery supplier its construction budget would remain unchanged. |
|
· |
New turbines are being installed for the repowering of Cuxac onshore wind farm in France, with the old site having been decommissioned and new foundations and cabling in place. The on-site substation has been energised. The repowering will increase the project's capacity from 12MW to 25MW. The repowered site is expected to be commissioned by the end of the year. The Managers continue to progress further repowering opportunities in France. |
|
· |
The development of the 200MW two-hour co-located battery at the Valdesolar project in Spain is approaching its final investment decision, which is expected to occur later in Q3 2026. |
|
· |
The Cadiz solar projects are also developing a 140MW four-hour co‑located battery investment opportunity. The projects have applied for the associated import capacity. |
Health, safety and environment
In the first half of 2026, the portfolio recorded four Lost Time Incidents. There were zero reportable incidents and zero material environmental incidents. The portfolio Total Recordable Incident Rate was 0.67 per 100,000 hours worked, which is in line with renewable energy industry benchmarks.
TRIG's approach to health, safety and environmental performance is built on consistent procedures, regular training and the close engagement of the Operations Manager with each site team. The objective is a culture in which a hazard identified on one site shapes how others operate. To this end, TRIG continues to collaborate with its partners through the biannual portfolio HSE coordination group to strengthen relationships among asset managers, facilitate information sharing, and address emerging issues within the portfolio and the broader industry.
TRIG emphasises positive leading indicators, including the frequency of independent and internal safety audits, assurance reviews, hazard identifications, and safety walks. Such leading indicators help to reduce the risk of circumstances arising in the first place that would enable an accident to happen, as opposed to lagging indicators, once the event has already occurred.
Highlights of proactive measures taken in 2026 to date include:
|
· |
visits to the Cuxac onshore wind site during its repowering; |
|
· |
RES HSQE manager site inspections/audits (throughout the construction process) at Ryton; |
|
· |
all wind: industry safety alert on certain lift emergency-brake components potentially containing asbestos; the Operations Manager checked all sites via AMs, with mitigations such as mandatory FFP3 masks and local asbestos controls; |
|
· |
a portfolio security working group set up in H1 to enhance site security and reduce the risk of unauthorized access or thefts from sites. Non-physical security is monitored and addressed through cybersecurity surveys and a new project company cybersecurity policy; |
|
· |
RES' Global Safety Focus Event took place in May 2026, bringing together 4,500 colleagues from 24 countries. This year's theme was 'Don't Risk It: Safety with Intention, which focuses on unifying RES personnel around intentional, accountable safety behaviours across all regions and job types, delivering one consistent global message with zero harm as the destination. |
|
· |
continued visits by project company directors across portfolio sites. These engagements serve as an opportunity to reinforce Board awareness of site matters and health and safety priorities. |
Directors' Statement of Responsibility
We confirm that to the best of our knowledge:
1. The condensed set of financial statements has been prepared in accordance with IAS 34 Interim Financial Reporting; and
2. The Chairman's Statement and the Managers' Report meets the requirements of an Interim Managers' Report, and includes a fair review of the information required by
a. DTR 4.2.7R, being an indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year; and
b. DTR 4.2.8R, being the disclosure of related parties' transactions and changes therein. By order of the Board
Richard Morse
Chair
6 August 2026
Publication of documentation
The above information is an extract from TRIG's 2026 Interim Report. The Interim Report has been submitted to the National Storage Mechanism and will shortly be available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism.
It can also be obtained from the Company Secretary or from the Reports & Publications section of the Company's website, at https://www.trig-ltd.com/.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Latest directors dealings
- 1 hour ago Frasers Group
- 1 hour ago Cavendish Financial
- 1 hour ago Diaceutics
- 1 hour ago AB Dynamics
- 15 hours ago Johnson Matthey