- IFC, ADB, and DEG have announced an investment of USD 275 million (about Rs 2,280 crore) in Fourth Partner Energy Ltd.
- FPEL has an installed base of 1.5 GW of green assets and is set to commission the first phase of its maiden 575 MW wind-solar hybrid project.
IFC, ADB, and DEG have announced an investment of USD 275 million (about Rs 2,280 crore) in Fourth Partner Energy Ltd (FPEL), an Indian renewable energy solutions platform.
According to a statement, the consortium’s investment will infuse capital to fund FPEL’s business expansion plans, including a target portfolio of 3.5 GW renewable energy assets by 2026.
FPEL has an installed base of 1.5 GW of green assets and is set to commission the first phase of its maiden 575 MW wind-solar hybrid project under the ISTS (Interstate Transmission System) route in Karnataka later this quarter, it said.
World Bank’s International Finance Corporation (IFC) is leading the consortium with an investment of USD 125 million, while the Asian Development Bank (ADB) is infusing USD 100 million, and Germany’s Deutsche Investitions- und Entwicklungsgesellschaft (DEG) is USD 50 million to complete this round of fundraising, it said.
The company’s ED Vivek Subramanian also said, “We welcome IFC, ADB and DEG as new partners to join our existing high-quality equity investor base…FPEL is now poised to transform the region’s clean energy landscape and assist more businesses in reaching their RE100 goals just and equitably.”
“Our investment will help FPEL to expand its renewable energy offerings and increase the supply of affordable, clean energy for commercial and industrial consumers across the country. Strategic investments in distributed generation through corporate PPAs are creating a new asset class, the key to diversifying India’s energy mix,” IFC’s regional director for South Asia, Imad N Fakhoury, said.
Also, the multilateral funding agency’s Director General for Private Sector Operations, Suzanne Gaboury, said that ADB’s investment in FPEL includes USD 70 million from our ordinary capital resources and USD 30 million from Leading Asia’s Private Infrastructure Fund 2 (LEAP 2), which ADB administers.
According to an estimate, India’s renewables sector is expected to attract an annual investment of USD 25 billion through 2030.