The United Nations Office for Project Services (UNOPS)
Landmark investment deal to build 250-megawatt solar farm in India
The new solar energy farm in Rajasthan State will provide clean electricity to around half a million families.
A nearly $200 million deal signed between UNOPS Sustainable Investments in Infrastructure and Innovation (S3i), the Danish Investment Fund for Developing Countries (IFU) and Acme Solar, an Indian solar energy firm, will build a new 250-megawatt solar park in India’s Rajasthan State.
Once in operation, the solar farm will provide renewable energy to an estimated 500,000 households. It is also estimated that the project will create more than 200 jobs in the construction phase and 75 jobs once the facility is in operation.
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“We need an urgent transition from fossil fuels to renewable energy. UNOPS is proud to support India’s climate targets and all of the partners in this landmark renewable energy project,” he continued.
About a quarter of the total project value will be financed by IFU, Acme Solar and S3i. In addition to investment contributions, S3i will play an operational role in the project, with a major emphasis on social impact measurement.
The project’s co-investors are Acme Solar, a leading independent solar power producer in India, and IFU, on behalf of the Danish Sustainable Development Goals Investment Fund, which is backed by the Danish government, Danish pension funds and other private investors.
“We are delighted to be part of this investment as it fits very well with our strategy to create green, just and inclusive societies and matches our requirement of co-investing with strong and competent partners,” said Reik Haahr Müller, Vice President, Climate at IFU.
“It is our first investment under the India-Denmark Green Strategic Partnership signed between the governments of India and Denmark in 2020, and we hope this will be a stepping stone for creating an even stronger green cooperation between India and Denmark, going forward,” he continued.
More than 60 per cent of India’s energy is produced with fossil fuels. With the growing population and rapid urbanization further increasing demand for electricity, the Indian government has made renewable energy a high priority.