Avaada Group closes solar and green hydrogen funding round with US$1.3 billion
The Avaada Group, an Indian power company that manufactures solar panels, has completed its most recent funding round, which raised US$1.3 billion for the group’s solar and green hydrogen businesses.
The group announced the funding round earlier this year and will be pleased to have closed it with over a billion dollars of investment. The majority of the funding comes from Canadian firm Brookfield Renewables and its Brookfield Global Transition Fund, with the fund committing US$1 billion to Avaada Ventures.
Global Power Synergy provided additional funding, investing $223 million and $68 million in separate tranches this year, bringing its total investment in Avaada to around $779 million.
“This funding round marks a significant milestone in Avaada Group’s journey and India’s energy transition,” said Vineet Mittal, chair and founder of the Avaada Group.
“We are grateful for the support from our investors and the Indian government, which is enabling us to contribute to the global energy transition and deliver on our promise of a sustainable future.”
Avaada announced that the funds would be used to expand its green power businesses, which include hydrogen and methanol production, as well as solar manufacturing. The company is a major player in Indian solar manufacturing, having constructed the 1.25GW Bikaner solar plant in Rajasthan, and has announced that it has won “several tenders” for new solar projects totaling nearly 1.8 GW.
The group’s plans for solar expansion could help India meet its government’s ambitious targets for renewable energy generation within its borders. The Indian government plans to install 500 GW of total renewable capacity by 2030, up from 89.4 GW of solar and onshore wind at the end of 2021. Solar power will account for 280GW of this renewable capacity.
With only 10.3 GW of new solar capacity added in 2021, and oil, gas, and coal still accounting for 90% of the country’s energy consumption in that year, successful investment rounds for Indian solar power developers like Avaada will be critical for the country’s long-term energy future.