IFC to invest $10 mn in Azure Power for solar projects

In the first ever investment of its kind by World Bank's arm IFC, the agency will invest $10 million (around 46 crore) in renewable power company Azure Power to help set up solar plants to generate electricity for Indian villages.

"IFC, a member of the World Bank Group, will provide a $10 million equity investment to an independent solar power company, Azure Power Private Ltd, to help implement new megawatt scale grid-connected solar plants to bolster clean energy output," International Finance Corporation said in a release.

IFC further said it is the first solar project under the lending agency's new clean technology investment programme.

"Once fully operational, the project will expand capacity to produce over 20,000 megawatt hours of clean energy annually to reach hundred villages in several Indian states, and more than 10,000 tonnes of carbon dioxide emissions will be avoided annually," it added.

Helion Venture Partners and Foundation Capital, leading venture capital investors in clean technology companies also funded Azure's solar power initiative in September 2008.

"The support from IFC, Helion, and Foundation Capital is recognition of the potential of megawatt scale solar power generation in India," Azure Power's Chief Executive Officer Inderpreet S Wadhwa said.