Fourth Partner Energy Secures $275 Million for Major Expansion

Fourth Partner Energy (FPEL) has secured a substantial $275 million equity investment from a consortium including the International Finance Corporation (IFC), Asian Development Bank (ADB), and Deutsche Investitions-und Entwicklungsgesellschaft (DEG). This funding will enable FPEL to expand its renewable energy assets to 3.5 gigawatts (GW) by 2026.

The investment includes $125 million from IFC, $100 million from ADB, and $50 million from DEG. FPEL, currently boasting 1.5 GW of installed green assets, is set to commission the first phase of a 575-MW wind-solar hybrid project in Karnataka this quarter. This expansion underscores FPEL's commitment to scaling its operations.

Vivek Subramanian, co-founder and Executive Director of FPEL, emphasized the importance of the new investment, noting the company's focus on commercial viability and robust returns. Existing investors include Norfund and TPG, with Norfund as the largest investor, having invested nearly $145 million.

The renewable energy sector in India is poised for significant growth, with expected annual investments of $25 billion by 2030. Imad N Fakhoury, IFC’s Regional Director for South Asia, highlighted the role of this investment in expanding FPEL's renewable energy offerings, increasing the supply of affordable, clean energy nationwide.

FPEL is also developing 1.2 GW of open access projects across Maharashtra, Uttar Pradesh, Tamil Nadu, and Gujarat. The company remains focused on inter-state transmission systems (ISTS), on-site solar, and battery storage, serving over 300 clients, including major corporations like Walmart, Unilever, and Tata Motors, positioning FPEL as a key player in India's renewable energy landscape.

News by Rahul Yelligetti