Aviva Investors has teamed up with forestry investment fund manager Par Equity and Scottish Woodlands to deliver a woodland creation and peatland restoration scheme in north-east Scotland that aims to capture more than 1.4m tonnes of carbon.
Aviva Investors and Par have established an investment vehicle which has acquired 6,300ha of moorland in the Glen Dye area of West Aberdeenshire as its first investment.
Following detailed public and statutory consultation, applications will be made to undertake extensive peatland restoration work across 1,800ha and new planting over 3,000ha, including up to 1,000ha of productive conifer and 2,000ha of native woodland.
The investment forms part of Aviva’s Climate Transition Fund and its commitment to achieving net zero carbon across the whole of its real assets platform by 2040.
Daniel McHugh, chief investment officer, real assets, at Aviva Investors, said: “One of the most critical aspects of the Climate Transition Fund we launched this year is that it materially reduces carbon impact primarily through the decarbonisation of the built environment, but also via nature-based solutions, including afforestation.
“This is the first of many investments we expect to make in this space, and the intention is for our carbon removal programme to be considered a best-in-class initiative which not only sequesters a vast amount of carbon over its lifetime but does so in a way that takes into account the surrounding habitats and community. In the case of Glen Dye Moor, we will do this while maintaining and improving the network of access trails, enhancing biodiversity and restoring the degraded peatland across the land.”
Tom Croy, investment manager at Par Equity, added: “We have been actively involved in forestry investment for 10 years and the acquisition of land at Glen Dye offers a tremendous opportunity to deliver an outstanding project as part of the journey to net zero.
“It will make a major contribution in terms of carbon capture and peatland restoration at national scale and will also provide employment while protecting and enhancing the landscape for the enjoyment of the many people who live in and visit the area. This is a very positive investment in natural capital and a project that will be beneficial to Scotland in an era where the transition to net zero is such a priority.”
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