IFC to finance Brookfield’s 550 MWp Bikaner solar power project


International Finance Corp. (IFC), a member of the World Bank Group, has committed $105 million to Brookfield Asset Management’s 550 MWp solar power project in the Bikaner district of Rajasthan. It will fund the project through long-term non-convertible debentures allocated to the project’s special purpose vehicles, which are implementing the project.

The project, being developed by Brookfield Asset Management, will supply solar power to commercial and industrial (C&I) consumers across India at competitive tariffs through long-term power purchase agreements (PPAs) and contribute to the nation’s decarbonization goals.

This is IFC’s first investment in Asia and the Pacific using an innovative hybrid offtake structure where the project sells the power generated to C&I consumers under long-term corporate PPAs and merchant market via exchange. The project will be connected to the inter-state transmission system section of India’s green energy corridor.

India has pledged to increase its non-fossil fuel capacity to 500 GW by 2030. “The country’s renewable energy sector has already attracted about $10 billion in annual investments between 2017 and 2022 and is expected to generate annual investments of $25 billion through 2030. Of this, around 20% is estimated to be directed towards the C&I and merchant market,” IFC stated in its media release.

“Through our partnership with Brookfield, IFC aims to facilitate the broader uptake of clean energy by demonstrating the viability of large-scale renewable energy generation, and sale to pan-India corporate and industrial clients, through the interstate transmission system,” said Imad N. Fakhoury, IFC’s Regional Director for South Asia. “The novel procurement options underscore the role of hybrid transactions in scaling up investments in renewables, increasing market competitiveness, and offsetting the energy sector’s carbon footprint—key to achieving India’s climate goals.”

“The corporate appetite for clean energy is growing in India, with over 5 GW of renewable capacity added for the C&I sector in the last 12 months alone. By leveraging our operational expertise, we plan to continue to expand our renewable and energy transition footprint in India focusing on both state utility and C&I segments in the country. With a portfolio of over 25 GW of renewable power assets in operation or in development across leading platforms in the country we look forward to capitalizing on the scaled transition opportunities on offer in the country,” said Nawal Saini, managing director, Renewable Power & Transition, Brookfield.

Since 2010, IFC has invested $2.79 billion in multiple projects to strengthen the renewable energy and energy efficiency sectors in India.


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