Japan-headquartered Sumitomo Corporation has entered India’s corporate Power Purchase Agreement (PPA) market through a joint venture with AMPIN Energy Transition.

The partnership has led to the establishment of AMPIN C&I Power, a new entity aimed at developing renewable energy projects and supplying power generated from renewable sources such as solar and wind to corporate clients in India. The company aims to supply 1 GW of renewable energy to the industrial sector in the coming years.

Sumitomo will hold 49% in the venture and AMPIN 51%.

With a total project cost of approximately ￥100 billion (~$710.8 million), this marks Sumitomo’s first venture into India’s corporate PPA sector, with significant plans for expansion.

Sumitomo aims to develop a comprehensive green power platform in India, covering the entire value chain from renewable energy generation to direct supply to client companies.

Leveraging the local expertise of AMPIN Energy Transition, which has a renewable energy portfolio of 4 GW, including upcoming projects, and Sumitomo’s established network of Japanese companies, the joint venture will focus on acquiring new customers, particularly Japanese-affiliated commercial and industrial entities operating in India.

Sumitomo said India is the world’s third-largest corporate PPA market after the U.S. and Spain. The market is expected to expand from 12 GW in 2023 to 100 GW by 2030.

Seiji Kitajima, General Manager of the Energy Innovation Initiative Strategic Business Unit at Sumitomo Corporation, stated: “With a total project cost of around 100 billion yen, we believe this is one of the largest corporate PPA projects undertaken by a Japanese company in India. We are delighted to collaborate with AMPIN Energy Transition and, through this partnership, will strive to expand renewable energy-based power sources in rapidly growing India.”

Pinaki Bhattacharya, Founder, MD & CEO of AMPIN Energy Transition, said: “This collaboration with Sumitomo Corporation highlights our unwavering commitment to accelerating renewable energy adoption in India. By combining our expertise and resources, we aim to co-develop and co-own renewable energy projects that will provide substantial long-term returns while significantly contributing to the nation’s energy transition goals.”

Previously, Mumbai-based multinational conglomerate Larsen & Toubro said it had closed a three-year $107 million sustainability-linked loan from Sumitomo Mitsui Banking Corporation.