The Caisse de dépôt et placement du Québec committed an initial US$135 million to Shizen Energy, with the potential to invest another US$339 million. The funding will help Shizen expand its renewable energy business, which includes solar and wind, and develop and fund renewable energy power plants. (The Logic)

Talking point: This is CDPQ’s second recent green investment in Japan, after announcing US$90 million for a green bond to finance solar power on Honshu—the country’s largest island—earlier this month. The investments fit with Japan’s bold targets to decarbonize its grid and CDPQ’s net-zero emissions commitment. The pension fund is one of few institutional investors that’s taken a divestment approach to reducing carbon exposure in its its portfolio. Its net-zero plan also includes increasing its low-carbon assets to $54 billion by 2025, up from $39 billion in 2021.