BII, CIP launch $300 million India renewables platform
British International Investment and Copenhagen Infrastructure Partners have launched North Star, a $300 million platform aimed at developing utility-scale renewable energy projects in India.
The platform was announced on Thursday at the Global Partnerships Conference in London. Under the arrangement, BII and CIP will each commit up to $150 million, with CIP investing through its Growth Markets Fund II.
North Star marks the first deployment under British Climate Partners, BII’s £1.1 billion climate-finance initiative unveiled last month as part of its new five-year strategy.
Focus areas
The platform will develop and operate a portfolio of solar, wind, hybrid renewable energy, and energy storage projects across India. Once fully operational, the portfolio is expected to generate over 4 million MWh of clean electricity annually and avoid around 4 million tonnes of carbon emissions each year.
According to BII, the platform is intended to address a key challenge in India’s renewable energy sector, where project tenders have increased but developers often face shortages of development expertise and long-term capital needed to move projects from award stage to commercial operation.
BII Chief Executive Officer Leslie Maasdorp said the platform reflects the institution’s strategy of mobilising private capital for climate and development priorities.
India financing gap
India has set targets of achieving 500 GW of installed non-fossil fuel capacity by 2030 and net-zero emissions by 2070. BII estimates that the country faces an annual climate-finance gap of at least $160 billion through the remainder of the decade.
BII said British Climate Partners will also expand to coal-dependent Southeast Asian markets including the Philippines, Indonesia, and Vietnam.
The institution expects the wider programme to mobilise £3.5 billion in private capital, taking total commitments under the initiative to £4.6 billion.
Peter Jannik Sjøntoft, partner in CIP’s Growth Markets Funds, said North Star would provide a platform for deploying long-term capital into renewable energy projects supporting India’s decarbonisation and energy security goals.
The featured photograph is for representation only.
