What financial troubles has Aviva's investment arm faced with its biomass plants?

Aviva's investment arm has experienced significant financial losses with its biomass plants, including three that collapsed into administration and two others facing severe difficulties, leading to substantial write-offs and debts.

How much money has Aviva written off for its failed biomass plants?

Aviva has written off £368 million for three plants in Hull, Boston, and Barry, while the Hooton Bio plant has lost £145 million since 2018, including £43 million in shortfalls and £270 million in debts as of 2024.

What is the current status of Aviva's remaining energy-from-waste plants?

Aviva's Plymouth biomass facility is being sold, and the Hooton site on the Wirral is not slated for closure, with Aviva noting improved performance there.

Home / Business and Economy / Aviva's Green Bet Crumbles: Millions Lost in Failed Incinerators

Aviva's Green Bet Crumbles: Millions Lost in Failed Incinerators

22 Mar

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Summary

Aviva's investment arm faces significant losses on renewable energy projects.
Two more biomass plants have encountered severe financial difficulties.
Creditors are expected to recover minimal funds from collapsed plants.

Aviva's Green Bet Crumbles: Millions Lost in Failed Incinerators

Two incinerators operated by Aviva's investment arm have recently encountered severe financial distress, exacerbating the losses from the insurer's unsuccessful foray into renewable energy. This development follows the revelation that three other biomass plants within the same green infrastructure fund, managed by Aviva since 2015, had already gone bankrupt, resulting in a £500 million loss.

The controversial biomass projects, intended to generate energy from household waste, have been plagued by high operational costs, technical malfunctions, and planning permission disputes. Aviva has written off £368 million for three plants in Hull, Boston, and Barry, which entered administration in 2024. Creditors are anticipating minimal recovery, with Aviva Investors claiming nearly £480 million.