Norwegian Climate Fund to invest in Gujarat’s wind power plant
POWER & RENEWABLE ENERGY

Norwegian Climate Fund to invest in Gujarat’s wind power plant

The Norwegian Climate Investment fund, managed by Norfund, and KLP, Norway’s largest pension company, together has committed equity and guarantees for a 168 MW wind power plant developed by Enel Green Power in India.

Enel Green Power, founded in 2008 within the Enel Group to develop and manage renewable power projects globally, operates over 59 GW of installed renewable capacity in Europe, Asia, Africa and the Americas. In July 2020, Norfund and Enel Green Power entered into a joint investment agreement for renewable energy projects in India. The first project together, the 420 MW Thar solar plant, was announced in August 2022.

This second project is a 168 MW wind project in Gujarat. As with Thar, Enel Green Power was awarded the rights to sell power under a government auction and has a 25-year power purchase agreement. Via the investment partnership KNI India, Norfund brings along KLP, Norway’s biggest pension company, with joint commitments of ca NOK 317 million (INR 2,4 billion) in equity capital and loan guarantees up to NOK 530 million (INR 4 billion) towards the construction of the project. (The Climate Investment Fund owns 51% and KLP 49% of KNI India).

The plant, which has been put into operation, is expected to produce ca 700 GWh per annum. Given India’s current energy sources, with a considerable proportion coming from coal, the project will avoid ca 573,000 tons CO2 per annum*.

The investment is the fourth made under the Climate Mandate in India, the country with the world’s greatest need for growth in the energy sector. To meet growth in electricity demand over the next twenty years, India will need to add a power system the size of the current EU production, according to the IEA. In 2022, India’s power output grew at the fastest pace in 33 years, and coal-fired power output grew by a staggering 12.4%. That also meant that emissions from power generation rose by nearly a sixth, to 1.15 billion tons, according to a Reuters analysis.

The Norwegian Climate Investment fund, managed by Norfund, and KLP, Norway’s largest pension company, together has committed equity and guarantees for a 168 MW wind power plant developed by Enel Green Power in India.Enel Green Power, founded in 2008 within the Enel Group to develop and manage renewable power projects globally, operates over 59 GW of installed renewable capacity in Europe, Asia, Africa and the Americas. In July 2020, Norfund and Enel Green Power entered into a joint investment agreement for renewable energy projects in India. The first project together, the 420 MW Thar solar plant, was announced in August 2022.This second project is a 168 MW wind project in Gujarat. As with Thar, Enel Green Power was awarded the rights to sell power under a government auction and has a 25-year power purchase agreement. Via the investment partnership KNI India, Norfund brings along KLP, Norway’s biggest pension company, with joint commitments of ca NOK 317 million (INR 2,4 billion) in equity capital and loan guarantees up to NOK 530 million (INR 4 billion) towards the construction of the project. (The Climate Investment Fund owns 51% and KLP 49% of KNI India).The plant, which has been put into operation, is expected to produce ca 700 GWh per annum. Given India’s current energy sources, with a considerable proportion coming from coal, the project will avoid ca 573,000 tons CO2 per annum*.The investment is the fourth made under the Climate Mandate in India, the country with the world’s greatest need for growth in the energy sector. To meet growth in electricity demand over the next twenty years, India will need to add a power system the size of the current EU production, according to the IEA. In 2022, India’s power output grew at the fastest pace in 33 years, and coal-fired power output grew by a staggering 12.4%. That also meant that emissions from power generation rose by nearly a sixth, to 1.15 billion tons, according to a Reuters analysis.

Next Story
Infrastructure Energy

Omaxe State, Dwarka Hosts High-Energy Grand Finale of Devil’s Circuit 2025

Omaxe State, the upcoming landmark development in Dwarka, reaffirmed its position as a hub for world-class experiences by hosting the electrifying Grand Finale of Devil’s Circuit 2025 on March 9, 2025. The event, which attracted over 12,000 fitness enthusiasts and thousands of spectators, not only marked the culmination of Asia’s biggest obstacle race but also showcased the immense potential of Omaxe State as a dynamic and thriving community space. As a forward-thinking real estate developer, Omaxe Ltd. has consistently focused on creating holistic urban environments that promote an activ..

Next Story
Real Estate

Pune: IT Boomtown Offering Opportunities for First-Time Homebuyers

Pune has rapidly emerged as one of India’s most prominent IT and startup hubs, drawing professionals from across the country. With its blend of economic opportunities, excellent infrastructure, and quality of life, the city has become a magnet for first-time homebuyers. While cities like Mumbai and Bengaluru continue to see skyrocketing property prices, Pune offers a promising investment opportunity with great potential for appreciation. The IT boom, expanding infrastructure, and superior living conditions make Pune an ideal destination for those looking to invest in their first home. Puneâ..

Next Story
Infrastructure Urban

Andhra Approves Over Rs 1.21 Trn in Investments from 10 Companies

The Andhra Pradesh State Investment Promotion Board (SIPB), chaired by Chief Minister N. Chandrababu Naidu, has approved investments totalling more than Rs 1.21 trillion from ten companies on Thursday. These approved investments are expected to generate 80,104 jobs, including Rs 25,000 crore from Satyavedu Reserve Infracity Pvt Ltd (Sri City), Rs 58,469 crore from Indosol Solar Pvt Ltd, and Rs 22,000 crore from AP NGEL Harith Amrit Ltd, among others. Furthermore, the Chief Minister instructed officials to set up MSME parks across all 175 constituencies, starting with one in each district. He..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?