9 August 2017 2017 09:45 AM GMT

IDFC Alternatives Fund Acquires Solar Projects Totaling 190MW From First Solar

India Infrastructure Fund II (which is represented by its Investment Manager, IDFC Alternatives Limited) through its wholly owned subsidiary Vector Green Energy Private Limited, has entered into definitive agreements with First Solar Power India Private Limited, First Solar FE Holdings Pte Ltd, and their affiliates (“First Solar Group”) for the complete acquisition of seven operating solar projects owned and operated by the First Solar Group in the Indian states of Andhra Pradesh and Telangana aggregating to a capacity of 190 MW AC. All the solar projects utilise First Solar’s advanced CdTe (Cadmium Telluride) based thin film modules, one of the most environmentally friendly PV technologies, and sell the power generated to state utilities, under long term power purchase agreements. The transaction of the solar projects is subject to customary regulatory approvals and other conditions precedents.

Speaking on the occasion, Mr. Aditya Aggarwal, Partner, IDFC Alternatives leading the renewable initiative said “We are pleased at the prospect of adding First Solar’s operating solar projects to India Infrastructure Fund II’s renewable energy platform Vector Green Energy Private Limited. Consistent with its stated strategy of aggregating operating renewable assets, IIF II is well on its way to achieving an installed base of 400-450 MW of operating renewable assets by the end of the current financial year.”

Mr. Sujoy Ghosh, Country Head, for First Solar India, said, “This is an important milestone for our company’s development activities in India. We are able to demonstrate the ability to recycle capital, by creating a portfolio of de-risked assets that demonstrate predictable and reliable cash flows and thereby create value for sophisticated financial investors like IDFC Alternatives.

IDFC Alternatives is one of India’s largest alternatives fund manager with AUM of USD 3.4 billion. It was founded in 2002 and manages 9 India dedicated funds across 3 asset classes: Private Equity, Infrastructure and Real Estate with a dedicated and experienced team of 37 investment professionals. IDFC Alternatives is a wholly owned subsidiary of IDFC Limited.

India Infrastructure Fund II has established Vector Green Energy Private Limited as the operating cum holding company for its control investments in the renewable energy sector. IIF II plans to aggregate controlling stakes in operating capacities under Vector Green’s experienced technical team.

First Solar Power India Private Limited is a fully owned subsidiary of First Solar Inc., a leading global provider of comprehensive photovoltaic (PV) solar systems which use its advanced module and system technology. The company’s integrated power plant solutions deliver an economically attractive alternative to fossil-fuel electricity generation today. From raw material sourcing through end-of-life module recycling and operations of solar projects, First Solar claims that its renewable energy systems protect and enhance the environment.

Image: Courtesy of First Solar

December 27th 2017
Rooftop PV Presents a $23 Billion Opportunity in India Over The Next 5 Years

India is accelerating development of renewable energy projects to provide cheap, reliable and clean power to its 1.3 billion people. The country’s per-capita on-grid electricity consumption has increased significantly over the four years; due to increased industrial activity, higher uptake of electrical appliances by residential electricity users and the addition of new consumers to the grid. During this period, the cost of electricity from rooftop PV has halved, due to fierce competition in the market and a drop in equipment prices. In contrast, average retail electricity rates have increased by 22% in the same period. This has made rooftop PV cheaper than commercial and industrial grid tariffs in all major states in India.

January 28th 2018
Chinese Solar Surge Fuels Overall Global Growth In Clean Energy Investment

World clean energy investment totalled $333.5 billion last year, up 3% from 2016 and the second highest annual figure ever, taking cumulative investment since 2010 to $2.5 trillion. An extraordinary boom in photovoltaic installations made 2017 a record year for China’s investment in clean energy. This outpaced changes elsewhere, including jumps in investment in Australia and Mexico, and declines in Japan, the U.K. and Germany. The figures up 3% from a revised $324.6 billion in 2016, and only 7% short of the record figure of $360.3 billion, in 2015.

December 15th 2017
Beyond Petroleum. BP Returns To Solar; Following Shell, Total Into Clean Energy

BP and Lightsource have announced a strategic partnership combining BP’s global scale with Lightsource’s solar expertise. BP will acquire 43% equity share in Lightsource for $200 million, with the majority of the investment funding Lightsource’s worldwide growth pipeline. The company will be renamed Lightsource BP. BP is not alone in moving away from oil and gas and towards clean energy. Anglo-Dutch Shell is purchasing electric car infrastructure companies, France’s Total is acquiring battery storage firms and Norway’s Statoil is pioneering floating wind farms.


 

   

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