AVAADA ENERGY PRIVATE LIMITED
Status: Completed investmentWhy disclosure?
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Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Giriraj Renewables Private Limited (GRPL) is a renewable energy company based in India that develops, constructs, owns and operates solar PV projects predominantly in India. GRPL, a fully owned subsidiary of Avaada Power Private Limited, is committed to establish 5 GW of renewable energy projects across India and selected other emerging markets geographies by 2022. FMO has committed an investment of up to USD 25 million in GRPL.
What is our funding objective?
FMO’s funding will be used to address the latent demand present in India and increasing demand of clean energy and electricity supply across Africa and South East Asia.
Why do we fund this investment?
With this investment, FMO will support the penetration of renewable energy in India’s energy mix and decrease dependency on fossil fuels. Economic growth is also supported with the development of renewable energy projects as jobs are created in often remote areas with an added benefit of obtaining reliable electricity supply. GRPL is committed towards delivering projects with high technical and E&S standards compliant with international regulations and to providing meaningful engagement with local communities.
What is the Environmental and Social categorization rationale?
While all projects currently in GRPL’s portfolio are classified as E&S Risk Category B, some of the renewable energy projects the company may develop could be E&S risk category A, so the investment is considered as E&S category A. The main E&S risks to be mitigated and managed relate to land acquisition/land-use change, labour conditions at contractor/sub-contractor level and water consumption for panel cleaning. An E&S management system (ESMS) and a dedicated E&S manager are in place. As part of the proposed investment, both the management system and the implementation of it will be improved, and the environmental and social capacity in the company will be strengthened.
More investments
| Date | Total FMO financing |
|---|---|
| 7/31/2021 | INR 0.00 MLN |
- Website customer/investment
- http://www.avaadaenergy.com
- Region
- Asia
- Country
- India
- Sector
- Energy
- Effective date
- 12/20/2018
- End date
- 7/31/2021
- Total FMO financing
- INR 1800.00 MLN
- Funding
- FMO NV
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - A