Singapore and Abu Dhabi invest $230 million in Indian renewables
Greenko Energy Holdings, one of India’s leading renewable energy companies, recently announced that it has received a major investment to help it establish a foothold in the country’s energy market.
Together, the Abu Dhabi Investment Authority (ADIA) and an affiliate of Singapore’s sovereign wealth fund, known as GIC, will invest US $230 million.
Greenko operates a diversified portfolio of over 1,000MW of wind and hydroelectric assets across India. The funds — $80 million of which were provided by GIC with the remainder coming from the ADIA — will contribute to the development of new renewable energy projects, including low-risk expansions of existing wind farms.
The company is also looking to increase its presence in the Indian renewables sector through inorganic growth in its hydropower segment, and will thus be aiming to acquire existing assets in that market.
In 2014, Greenko purchased the 70MW capacity Lanco Budhil hydropower project, and two similar projects of 5MW each, in the Northern State of Himachal Pradesh.
Anil Kumar Chalamalasetty, CEO Greenko Group, said: “With our attractive diversified renewable power portfolio, we will continue to execute on our vision to be the most admired independent power producer delivering multiple gigawatts of clean energy at grid parity to support the growth of the Indian economy.”
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.