Greenko Energy Holdings raised $700 million in equity
From its founders, GIC and ORIX Corporation
Hyderabad: Greenko Energy Holdings, a renewable energy company based in Hyderabad, has raised $700 million in equity funding from its founders, GIC and ORIX Corporation. GIC is a subsidiary of the Abu Dhabi Investment Authority (ADIA). Greenko stated there would be no changes in its shareholding structure after the investment. The company plans to use the funding to invest in pumped storage projects with a storage capacity of over 25 GWh. This will allow for 45 billion units of “carbon-free energy” to be dispatched.
Anil Kumar Chalamalasetty, CEO and MD at Greenko, said the funding from existing shareholders reflects their trust in Greenko’s vision. He added that Greenko is leading India’s energy transition by implementing large-scale, long-term solutions that create long-term value for all stakeholders. Carbon-free energy is helping to accelerate industrial decarbonisation, enhance the green quotient of India’s grid, and develop green molecules and chemicals at a competitive cost.
Greenko claims to be India’s first dispatchable renewables company. The company recently launched the country’s first integrated green energy storage project, offering energy storage solutions through its cloud platform under a unique model to bulk energy users. It has also started constructing 5.2 GW of integrated renewable energy storage projects in Andhra Pradesh, with 10 GWh storage, 3 GW solar, and 0.5 GW wind power. The project has already attracted private investors, such as ArcelorMittal and Ayana Renewable. It has a tie-up with the Solar Energy Corporation of India (SECI) for power sales to Bihar, Rajasthan, and DVC.
Mahesh Kolli, the President and Joint Managing Director of Greenko, stated that the company’s energy storage system is an “off-stream closed loop pump hydro” system. It is half the cost of battery storage and more sustainable. Kolli believes that India would need close to 50 GWh of pump hydro to meet its storage needs in line with solar and wind energy’s growth plans. Greenko has been in the energy storage business since 2017 and now offers energy plus storage at a comparable cost to non-pithead coal-based power.
According to Ang Eng Seng, Chief Investment Officer of Infrastructure at GIC, cost-effective long-duration energy storage is key to unlocking widespread adoption of renewable energy, accelerating India’s energy transition plans, and spurring the global transition to a net-zero economy. Greenko is uniquely positioned as the leading market provider of long-duration energy projects through its pumped storage projects.