The Dalmore Infrastructure Series - The No Regrets Build Out

Dalmore Capital - Blog Author

By Dalmore Capital

The energy transition is full of forecast arguments about heat, hydrogen and how much power AI will need. In the latest paper in the series, Alistair Ray, Chief Investment Officer of Dalmore Capital, argues that a core set of assets is needed in every credible future, and that core is large enough to build an allocation around.

A few highlights:

  • Regret minimisation, not prediction. Assets needed in every scenario can be underwritten on entry price, structure and execution rather than on forecasts.
  • A concrete opportunity. Ofgem has approved £28.7 billion of upfront network investment for 2026–31, alongside up to £21.7 billion of committed carbon-capture funding.
  • A contrarian take on renewables. Wind and solar pass the scenario test best of all, but their returns are mostly competed away.
  • The credentials paradox. The assets that pay are often the hardest to badge as green, and that helps protect their returns.

“What they pay is decided by entry price, location and revenue structure.”

— Alistair Ray, CIO, Dalmore Capital

Read more about the new piece here: The Dalmore Infrastructure Series – The No Regrets Build Out

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