PROPARCO, a French development financial institution, has announced that it has made a $15 million (~₹1.07 billion) equity investment in independent power producer Avaada Energy Private Limited.
PROPARCO provides funding and support to both businesses and financial institutions across Africa, Asia, Latin America, and the Middle-East and seeks to partner with projects in key development sectors, infrastructure (with a specific focus on renewable energies), agribusiness, financial institutions, healthcare and education, etc., according to the company’s website.
PROPARCO has earlier invested in renewable energy project developer Azure Power. In 2018, $135 million in debt financing was secured by Azure from International Finance Corporation, a member of the World Bank Group, FMO – the Dutch development bank, PROPARCO, and Oesterreichische Entwicklungsbank AG (OeEB) – the development bank of Austria. The proceeds were to be used to finance approximately 200 MW of Azure Power’s rooftop solar projects across India.
Earlier, Avaada Energy announced that it had secured financing of around ₹10 billion ($143.8 million) in the form of equity infusion from the Asian Development Bank (ADB), German development bank – DEG, Dutch development finance company- FMO, and promoters’ equity.
Recently, the Solar Energy Corporation of India (SECI) awarded 960 MW of inter-state transmission system (ISTS-VI) connected solar projects in its auction, out of which Avaada Energy won 300 MW at a tariff of ₹2.71 (~$0.038)/kWh.
