Enel Green Power (EGP), through its Indian subsidiary Enel Green Power India (EGP 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.
The arrangement is a joint investment structure in which EGP India will be responsible for the production and construction of each project, while Norfund will be entitled to invest in the projects after a certain milestone has been achieved in its completion, thereby becoming equity partner with EGP India in the project.
In addition, EGP India will support each project through the provision of technical services starting from the preliminary development activities within the partnership.
“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. 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.“Antonio Cammisecra, CEO of Enel Green Power.
“For Norfund, 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 realize 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.“Tellef Thorleifsson, CEO of Norfund.
Through the agreement, the partners plan to promote the creation of a clean energy footprint in India, which is rich in renewable sources and has ambitious green energy goals, in line with their growth, decarbonization and renewables targets.
India’s government is committed to achieving 100 GW of solar power and 60 GW of wind energy by 2022, up from about 35 GW of solar power and about 38 GW of wind as of today.