EDF EN and SITAC Group announce a joint venture (JV) to undertake onshore wind energy projects in India
EDF Energies Nouvelles (EN) a market leader in green electricity production and a wholly owned subsidiary of the EDF group, a world class utility and champion of low-carbon growth, has entered into a JV with the SITAC Group, a leading Indian transnational, founded by Mr. Malvinder Singh, with interests in real estate, infrastructure and renewable energy for the development of wind assets in India.
The JV, known as SITAC Management & Development Pvt. Ltd. (SMDPL) is a 50-50 partnership between the SITAC Group and EDF EN. The partnership agreement was exchanged by the Mr. Malvinder Singh (Founder of the SITAC Group) and Mr. Jean-Bernard Levy (Chief Executive Officer and Chairman of EDF Group) in the presence of the French president, Francois Hollande and the Prime Minister of India, Narendra Modi as part of the recently concluded India-France Business Summit at Chandigarh. While SITAC has been a part of the Indian wind energy industry since 2007, this is EDF EN’s first foray in the country’s onshore wind market.
As part of the partnership agreement, both parties will complete four projects with a total of 142 MW in installed capacity, in Gujarat by the end of this calendar year. This will be done through a 25-year Power Purchase Agreement (PPA) with the Gujarat Urja Vikas Nigam Ltd. (GUVNL). Going forward, the JV aims to execute a minimum of 1,000 MW across India through an investment of about Rs.7,500 crore, spread over the next 3- 5 years.
Mr Jean-Bernard Levy, Chief Executive Officer and Chairman of EDF Group, commented: “I am delighted to be signing this highly promising partnership between EDF Energies Nouvelles, our international subsidiary which now offers its expertise in solar and wind energy in India, and SITAC, a reputed local wind energy partner.Mr. Levy added, “The ongoing deployment of renewable energies in 20 countries demonstrates the EDF Group’s contribution to international efforts to combat climate change, building on the recent Paris agreements.”
Mr. Malvinder Singh, Founder of the SITAC Group and Chairman of the JV commented, “Renewable energy is not only a financial and environmental success story but it also provides a huge boost to the economy and the Hon’ble PM’s “Make in India” initiative since the entire Capital expenditure is procured locally. The JV with EDF enables a long term sustainable model as a utility.”
