GE ENERGY FINANCIAL SERVICES MAKES FIRST RENEWABLE ENERGY INVESTMENT IN INDIA
GE Energy Financial Services, a subsidiary of General Electric Company (NYSE: GE), has partnered with India’s Greenko Group plc to invest in a new Greenko venture that will bring more wind power to India.
This funding will support the Greenko Wind Project which is set to develop 500 MW of wind projects in India. GE Energy Financial Services has committed $50 million to the project, which marks its first renewable energy investment in one of Asia’s wind hotspots.
According to Greenko, there is a surplus of potential wind energy yet to be tapped in India. By the company’s estimate,s just 25% of the country’s 45,000 MW wind potential has been harnessed.
To this end, Greenko, considered one of the fastest growing clean energy developers in India, is investing $65 million in the new venture. With just 183 MW of operational capacity Greenko, which was formed in 2006, has set big targets, the largest of which may be to reach 1 GW of clean energy assets by 2015. Wind generation will play a big role in meeting this goal. This first round of funding will support the development of just half of the planned 1,000 MW Greenko Wind Project.
Work has already begun on the project’s first wind farm. Located in Maharashtra, the Ratnagiriis wind farm, expected to be online in December, will employ GE wind turbines to generate 65 MW.
GE Energy Financial Services is not the only US company investing in India’s burgeoning renewable energy market. In July, the Export-Import Bank of the United States committed $25.2 million in loans to support the export of thin-film solar photovoltaic modules from both First Solar Inc. (Nasdaq: FSLR) and Abound Solar Inc. to solar farms in India.
Greenko believes that Indian policymakers are “providing a strong and clear policy framework to support the continued expansion of renewable energy sources.” Last year, In order to support its renewable energy target of 15% by 2020, the Indian government announced plans to add 35 gigawatts of renewable energy by 2015. Ex-Im Bank expects the country to be its largest market in 2012.
For GE Energy Financial Services this funding announcement builds on a rapidly growing renewable energy portfolio. This news comes just ten days after the company, along with partner NextEra Energy Resources purchased the 550 MW Desert Sunlight Solar Farm in Desert Center, California from First Solar.
Image Credit: GE