India Grid Trust (IndiGrid) has partnered with British International Investment (BII), the UK’s development finance institution, and impact investor Norwegian Climate Investment Fund managed by Norfund, and Techno Electric and Engineering Company (Techno) to develop its greenfield Interstate Transmission System (ISTS) projects.

Under the partnership, BII and Norfund will invest in three of IndiGrid’s ISTS projects, which the company won last year. The projects that are under construction are Ishanagar Power Transmission (IPTL), Dhule Power Transmission (DPTL), and Kallam Transco (KTCO). These projects are expected to support evacuation of about 6 GW renewable energy in Madhya Pradesh and Maharashtra.

Techno will also co-develop the IPTL and DPTL projects and invest minority capital.

During the financial year 2024, IndiGrid operationalized its first greenfield ISTS project, KTCO, and won five additional projects, across ISTS and Battery Energy Storage System, with a capex outlay of ₹20 billion (~ $238.26 million) to be deployed over the next 12-24 months.

Rohit Anand, Head of Infrastructure Equity, Asia at BII, said: “India requires a substantial investment of ₹4.75 trillion (~$56.59 billion) in the transmission sector to facilitate the integration of renewable energy capacities and meet its decarbonization goals. As a long-term partner and committed climate finance provider to India, we are delighted to bring not just our capital but also our ESG expertise to support the transmission sector, which is a vital part of India’s energy transition.”

Harsh Shah, CEO and Director of IndiGrid, said, “India’s commitment to energy transition and grid parity across renewable energy technologies, including BESS, is creating tremendous investment opportunities in our target areas. This offers a compelling prospect for investors who prioritize sustainability. Our partnership earlier with IFC and now with BII and Norfund is a testament to our strong commitment to aligning with leading ESG standards in our businesses.”

IndiGrid is the first Infrastructure Investment Trust in the Indian power sector. It owns 41 power projects consisting of 49 transmission lines.

Recently, the company reported that its first-quarter revenue of 2024 surged by 32.7% year-over-year, reaching ₹8.35 billion (~$99.7 million), up from ₹6.29 billion (~$75 million) in the same quarter last year. The company’s recent acquisitions aided its topline growth.

The company recorded revenue of ₹7.86 billion (~$94.59 million) during the fourth quarter of the financial year 2024, a 31% year-over-year increase. The company’s profit for the quarter was ₹584.87 million (~$7.04 million).