TOKYO — French energy supermajor Total has invested more than 37 billion rupees ($487 million) to form a renewable power joint venture with India’s Adani Group.
The deal, finalized Tuesday, splits the ownership 50-50 between Total and the Indian conglomerate’s Adani Green Energy unit.
The French company is pursuing clean energy amid the global push toward lower carbon dioxide emissions. Despite India’s current nationwide lockdown, Total sees demand for renewables growing in the long run as the government tackles air pollution.
The joint venture takes over Adani’s solar projects, which span 11 Indian states and field a total power generating capacity of roughly 2 gigawatts. Through the partnership with Total, Adani plans to expand all renewable energy capacity, including solar, to 25 GW by 2025.
The Indian government seeks to double renewable energy output to 175 GW in 2022, up from 86 GW as of November 2019. New Delhi targets capacity of 450 GW in the long term, focusing on solar energy.
State authorities have been accepting bids from private-sector companies to develop renewable energy projects nationwide. Winning enterprises build the generators and sell power. Under this framework, both conglomerates and startups have increased investment in the green energy sector.