ONGC-NTPC Green Energy JV to acquire Ayana Renewable for $ 2.3 bn

State-owned explorer Oil and Natural Gas Corporation (ONGC) said on Wednesday that its joint venture with utility firm NTPC Green Energy will acquire Ayana Renewable Power, which operates solar and wind plants.

Ayana is valued at $2.3 billion including debt, ONGC said in a statement.

The 50-50 joint venture outbid JSW Energy for the renewable energy firm, Reuters had reported in November, citing sources.

Ayana, owned by quasi-sovereign wealth fund National Investment and Infrastructure Fund, British International Investment Fund and Green Growth Equity Fund, operates plants that produce 1,600 megawatts in India and has another 2,500 megawatts in such projects under construction.

 

The acquisition comes at a time when large power producers in India are betting big on renewables and making pledges to expand their green energy capacities.

The Indian government has pledged to add 500 gigawatts of clean energy by 2030 to reduce carbon emissions.

 

Earlier on Wednesday ONGC signed an initial pact with Tata Power Renewable Energy Ltd to explore collaborative opportunities in the Battery Energy Storage System (BESS) value chain.

 

ONGC has been stringing around deals in clean energy as part of its target to scale renewable energy capacity to 10 gigawatts by 2030 a part of its target to achieve net zero carbon emission by 2038.  Besides solar and wind energy projects, ONGC is looking at round-the-clock renewable power capacity to meet this target.