Lightsource BP, Europe’s largest developer and operator of utility-scale solar projects, and Indian private equity fund Everstone Group, will jointly invest in a £500 million ($715 million) fund aimed at clean technology and renewable energy in India.
Confirming the move on Wednesday (18 April), both firms said the fund – Green Growth Equity Fund (GGEF) – benefits from an initial £241 million investment equally shared by the U.K. and Indian governments.
GGEF intends to raise £500 million from institutional investors, as well as what Lightsource BP Chief Executive Officer Nick Boyle described as a “significant investment” from his firm and Everstone. “India is one of the fastest and most dynamic markets for clean energy in the world, and we are delighted to be jointly working on the fund.”
Boyle added that GGEF would invest across the renewable energy spectrum, including solar and wind projects in India, and also divert resources to electric vehicle charging stations, in line with its objectives of backing low-carbon technologies.
Lightsource BP has a 43% stake from the oil giant. India was the world’s sixth-largest market of clean energy investment in 2016, and remains among the biggest geographical plays in the global market, according to research outfit Bloomberg New Energy Finance.
The country has an installed renewable energy capacity of 60 gigawatts, but Indian Prime Minister Narendra Modi has stated his ambition of doubling it by 2022-23.