Italy’s Enel Green Power, through its Indian subsidiary for renewables Enel Green Power India, and the Norwegian Investment Fund for developing countries Norfund, have signed a long-term agreement to jointly finance, build and operate new renewable projects in India, Enel said on July 8.
“This agreement gives us the opportunity to expand and strengthen our presence in India, after recently scoring our first win in a solar tender in the country,” Enel Green Power CEO Antonio Cammisecra said. “By joining forces with an important partner such as Norfund, which shares our commitment towards sustainability and decarbonization, we will leverage on our technical expertise to harness the significant renewable growth potential of India, while contributing to the achievement of the country’s sustainable energy targets.”
Norfund CEO Tellef Thorleifsson said for his company the partnership represents an opportunity to play a role in providing much needed clean energy in an important market together with a world class industrial partner.
“India has ambitious targets to increase the penetration of renewables, and there is a great need for more capital combined with technical expertise to realise them. By partnering with an experienced company like Enel Green Power, we believe we can contribute to both create jobs and promote the transition to renewables,” Thorleifsson said.
The agreement is a collaborative investment framework under which EGP India will be responsible for the development and construction of each project, while Norfund will have the right to invest in the projects once a specific milestone in their completion is reached, thus becoming equity partner with EGP India in the project. In addition, within the partnership, EGP India will support each project by providing technical services starting from the preliminary development activities, Enel said.
Through the agreement, the partners, in line with their sustainability, decarbonisation and renewables targets, aim at boosting the development of a clean energy footprint in India, which is rich in renewable sources and has ambitious green energy goals, Enel said, adding that India’s government is committed to achieve 100 GW of solar and 60 GW of wind power generation capacity by 2022, up from around 35 GW of solar and about 38 GW of wind as of today.