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CIE Automotive to Procure Power from ReNew’s 7.8 MW Captive Solar Project

John Cockerill to Supply Electrolyzers to AM Green’s Ammonia Project

Varroc to Procure Power from AMPIN’s 27 MW Solar Project in Maharashtra

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First Solar Revenue Falls Short in Q3, Revises 2024 Guidance Amid Sector Pressures

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SECI Floats Tender to Procure 1.2 GW Round-the-Clock Renewable Power

Daily News Wrap-Up: APTEL Criticizes MERC for Denying Petitioner Relief


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					</table><p>In a sign that India’s financial institutions are getting serious about contributing to the country’s energy transition goals, public sector bank <a href="https://canarabank.com/" target="_blank" rel="noopener">Canara Bank</a> has issued a Green Deposit Policy and Lending Framework designed for green initiatives, including solar and wind energy projects.</p>
<p>The framework is on the lines of the Reserve Bank of India’s (<a href="https://rbi.org.in/home.aspx" target="_blank" rel="noopener">RBI</a>) guidance document for financial institutions to <a href="https://www.mercomindia.com/reserve-bank-to-accept-green-deposits" target="_blank" rel="noopener">offer</a> ‘green deposits’ to customers, address ‘greenwashing’ concerns, and help augment the flow of credit to green activities and projects. The framework, which applies to all regulated financial entities, was issued in April and came into force in June this year.</p>
<p>In its green deposit policy, Canara Bank will offer specialized green deposit accounts, which may be in the form of term or recurring deposits. Those opting to open such accounts will be awarded an appreciation letter.</p>
<p>Under the framework, such green deposits will be further deployed for “green finance” as per the green deposit lending framework guidelines.  The deposits will be deployed in green activities and projects aimed at encouraging energy efficiency in resource utilization and reducing carbon emissions and greenhouse gases.</p>
<p>The bank’s policy framework also addresses issues of ‘greenwashing,’ a term to refer to organizations making unsubstantiated claims about their sustainable and environmentally-friendly products and services.</p>
<p>The framework lists solar, wind, biomass, and hydropower energy projects that integrate energy generation and storage as green projects. Other such initiatives include the design and construction of energy-efficient and energy-saving systems and installations in buildings and supporting the construction of new low-carbon buildings as well as energy-efficiency retrofits to existing buildings, projects to reduce electricity grid losses, and electric vehicles.</p>
<p>Projects involving new or existing extraction, production, and distribution of fossil fuels, including improvements and upgrades, or where the core energy source is fossil-fuel based, are not eligible for green financing. Hydropower plants larger than 25 MW and nuclear projects are also excluded.</p>
<p>The bank will furnish the details of the total clean energy capacity installed, energy generated, greenhouse gas emissions avoided annually, new clean infrastructure built, and number of electric vehicles produced.</p>
<p>The allocation of funds raised through green deposits by the bank will be subject to an independent annual third-party verification.</p>
<p>More such banks coming out with policies to accept green deposits could catalyze lending to India’s renewable energy sector, which <a href="https://www.mercomindia.com/economic-survey-india-private-investment-finance-net-zero" target="_blank" rel="noopener">requires</a> an investment of trillions of U.S. dollars if India has to realize its net zero goals by 2070.</p>
<p>Recently, a parliamentary committee asked the government to <a href="https://www.mercomindia.com/parliament-panel-renewable-finance-obligation" target="_blank" rel="noopener">explore</a> the possibility of prescribing Renewable Finance Obligations along the lines of Renewable Purchase Obligations for banks and financial institutions to make them invest a specific percentage of their overall investment in the Indian renewable energy sector.</p>


Canara Bank Issues Policy to Deploy Green Deposits in Renewable Energy Projects


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					</table><p>Government-owned SJVN has secured a green financing loan of ₹9.15 billion (~$111.2 million) from the Japan Bank for International Cooperation (<a href="https://www.jbic.go.jp/en/" target="_blank" rel="noopener">JBIC</a>) to construct two solar power projects in India.</p>
<p>The first <a href="https://www.mercomindia.com/amp-energy-sjvn-and-nhdc-rumsls-floating-solar-auction" target="_blank" rel="noopener">project</a> is the 90 MW Omkareshwar Floating Solar Power Project in Madhya Pradesh, and the second project is the 100 MW Raghanesda Solar Power Project in Gujarat.</p>
<p>The combined estimated cost of these projects is ₹12.9 billion (~$156.5 million).</p>
<p>JBIC, co-financed with private financial institutions in Japan, is financing these projects with a combined capacity to produce approximately 450 MU of electricity in their first year. These projects are expected to begin operation in 2023.</p>
<p>The loan will support SJVN&#8217;s renewable energy projects in India and promote environmentally sustainable development.</p>
<p>JBIC will provide 60% of the debt financing for these projects, while the remaining balance will be covered by Japanese commercial banks, namely <a href="https://www.bk.mufg.jp/global/" target="_blank" rel="noopener">MUFG Bank</a> and <a href="https://www.gogin.co.jp/" target="_blank" rel="noopener">San-in Godo Bank</a>.</p>
<p>SJVN and JBIC have recently signed a &#8216;Facility Agreement&#8217; under JBIC&#8217;s Global Action for Reconciling Economic Growth and Environmental Preservation (GREEN) program.</p>
<p>SJVN has set a target of generating 25 GW of power by 2030, with over 50% coming from solar and wind sources.</p>
<p>Last month, SJVN<a href="https://www.mercomindia.com/sjvns-q3-profit-%e2%82%b92-9-billion-income-equity-transfer" target="_blank" rel="noopener"> posted</a> a profit of ₹2.87 billion (~$34.7 million) for the third quarter (Q3) of the financial year (FY) 2022-23, an increase of 22% year-over-year (YoY).</p>
<p>Earlier in January, the Cabinet Committee on Economic Affairs <a href="https://www.mercomindia.com/daily-news-wrap-up-sjvn-382-mw-hydropower-himachal-pradesh" target="_blank" rel="noopener">approved</a> the 382 MW Sunni Dam hydroelectric project in Himachal Pradesh by SJVN. The project will be built at an estimated cost of ₹26.15 billion (~$315.6 million), including ₹138 million (~$1.6 million) as budgetary support from the Government of India.</p>


SJVN secures ₹9.2 Billion Loan from Japan Bank for International Cooperation


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					</table><p>Spain-based renewable energy group <a href="https://brucmanagementprojects.com/en/bruc-management-2/" target="_blank" rel="noopener">Bruc</a> has acquired six new solar photovoltaic power projects with a cumulative capacity of 384 MW from independent renewable energy producer <a href="https://opdenergy.com/en/" target="_blank" rel="noopener">Opdenergy</a>.</p>
<p>The assets are part of the 1,101 MW portfolio <a href="https://mercomindia.com/project-finance-brief-opdenergy-spanish-portfolio/" target="_blank" rel="noopener">agreed</a> upon between the two companies in August 2021 for the sale and purchase of 20 solar photovoltaic power generation plants.</p>
<p>Bruc has acquired projects located in the provinces of Cádiz (116 MW), Zaragoza (60 MW), Teruel (114 MW), and Palencia (94 MW) in Spain.</p>
<p>With the delivery of the six plants, Opdenergy has transferred a total of 662 MW.</p>
<p>The 384 MW solar projects are in addition to the 278 MW capacity which have already been handed over to Bruc recently. These assets are located in the provinces of Seville, Soria, and Zaragoza.</p>
<p>The remaining projects of 439 MW capacity is under development.</p>
<p>Bruc currently owns 8,600 MW with access rights to the transmission grid, of which 1,100 MW are either already operational or at an advanced stage of construction.</p>
<p>The company said it believes that an energy transition towards a decarbonized economy is urgently required, and part of this transition relies on the development of clean energies.</p>
<p>The company’s mission is to generate attractive investment opportunities in the field of renewable energies with the aim of contributing to the sustainability of energy supply systems and substantially reducing their environmental impact.</p>
<p>Opdenergy is an independent renewable energy producer in Europe, the United States, and Latin America.</p>
<p>The company develops, finances, and operates high-quality renewable energy projects in several countries and works towards the decarbonization of energy in the different countries in which it operates.</p>
<p>Opdenergy has a portfolio of 1.8 GW of assets in operation and under construction. It has an additional portfolio of 12 GW of projects in different stages of development.</p>
<p>In July, Opdenergy <a href="https://mercomcapital.com/opdenergy-secures-financing-solar-projects-spain/" target="_blank" rel="noopener">signed</a> a green financing agreement of €350 million (~$356.4 million) with BBVA and the European Investment Bank for the construction and commissioning of 605 MW of a solar PV portfolio located in Spain.</p>


Spain’s Bruc Acquires Six Solar Projects with 384 MW Capacity from Opdenergy

<p>Here are some noteworthy cleantech announcements of the day from around the world:</p>
<p><strong>The European Investment Bank (EIB) has </strong><a href="https://www.eib.org/en/press/all/2021-061-forsee-power-accompagne-dans-sa-croissance-par-la-bei-a-hauteur-de-50-millions-d-euros" target="_blank" rel="noopener"><strong>provided</strong></a><strong> a €50 million (~$60.70 million) loan to Forsee Power, a France-based battery manufacturer, to support its expansion into new electromobility markets and regions.</strong> With this loan, the company has secured €105 million (~$127.45 million) in funding to support the expansion. The bank loan will help Forsee Power finance the expansion of its range of products for 100% battery-powered, hydrogen hybrid, and thermal hybrid vehicles.</p>
<p><strong>Italvolt, an Italy-based electric vehicle battery startup, </strong>has <a href="https://www.italvolt.com/batterie-a-ioni-di-litio-per-veicoli-elettrici" target="_blank" rel="noopener"><strong>said</strong></a><strong> it would invest €4 billion (~$4.85 billion) to develop a lithium-ion battery manufacturing facility in Italy to meet growing demands for batteries in Europe.</strong> The facility will have 45 GWh of production capacity, which could reach 70 GWh. The first phase of the project is expected to be completed in 2024.</p>
<p><strong>Israel&#8217;s Ministry of Energy has </strong><a href="https://www.gov.il/he/departments/news/se_150221" target="_blank" rel="noopener"><strong>provided</strong></a><strong> 4 billion Israeli New Shekel (~$1.23 billion) grant to 11 local authorities, facilities, and commercial buildings in the south of the country to implement energy efficiency projects.</strong> The grant was given to support energy efficiency projects that save electricity, such as upgrading lighting systems, replacing old central cooling units with new and efficient ones, and replacing split air conditioners with new and efficient systems. Winners of the grant include Rahat Municipality, Kiryat Gat Municipality, Dead Sea Brom factory, and Rotem Ampert Negev company.</p>
<p><strong>Anne-Marie Trevelyan, Energy Minister, United Kingdom, has </strong><a href="https://www.gov.uk/government/news/leeds-and-london-set-to-become-global-centres-of-green-finance" target="_blank" rel="noopener"><strong>announced</strong></a><strong> that Leeds and London would be home to the new U.K. center for driving global green finance and investment.</strong> The government will provide £10 million (~$13.93 million) for two green finance research hubs that will provide data and analytics to financial institutions and services such as banks, lenders, and investors across the globe to support their investments and business decisions by considering the impact on the environment and climate change.</p>
<p><strong>REE Automotive, an Israel-based e-mobility company, has </strong><a href="https://www.prnewswire.co.uk/news-releases/ree-automotive-opens-new-engineering-center-of-excellence-in-the-uk-822108016.html" target="_blank" rel="noopener"><strong>unveiled</strong></a><strong> plans to develop a new state-of-the-art Engineering Center of Excellence in the United Kingdom.</strong> The company plans a $92 million investment during the next three years in the new engineering center and the region. The center will expedite the company&#8217;s plans to meet anticipated global demand for its breakthrough REEcorner and electric vehicle platform technology. Recently, REE Automotive <a href="https://mercomindia.com/ree-automotive-to-go-public/" target="_blank" rel="noopener">signed</a> an agreement for a business combination with 10X Capital Venture Acquisition Corporation, a special purpose vehicle company (SPAC), resulting in REE becoming a public company.</p>
<p>Here is our <a href="https://mercomindia.com/daily-news-wrap-up-sterling-2/" target="_blank" rel="noopener">previous</a> daily news wrap-up.</p>


Daily News Wrap-Up: EIB Provides €50 Million to Forsee Power to Expand Battery Business

<p style="text-align: center;"><em>First Filipino Green Bond Attracts Investment from World Bank Member</em></p>
<p>The first green bond launched by a commercial bank in the Philippines has attracted a $150 million (~₹9.65 trillion) investment from a World Bank Group member. The International Finance Corporation (<a href="http://www.ifc.org/wps/wcm/connect/corp_ext_content/ifc_external_corporate_site/home" target="_blank" rel="noopener">IFC</a>) made the investment in a green bond issued by BDO Unibank Inc, the largest bank in the Philippines, to help expand financing for private sector investments that address climate change.</p>
<p>The issuance of the green bond is a culmination of an advisory engagement on sustainable energy finance between IFC and BDO that started in 2010. The financing is expected to help save 93,000 tons C0<sub>2</sub> emissions per year by 2022.</p>
<p>Nestor V. Tan, president and chief executive officer of BDO, said the investment aligns with the bank’s goal of growing its climate business and ultimately fostering the growth of the nascent climate finance market in the Philippines.</p>
<p>“Climate change is a very real concern in the Philippines. It is one of the most vulnerable countries globally to the impacts of such change. This bond demonstrates our corporate commitment to come up with business solutions to address the challenges of sustainability,” Tan said.</p>
<p>Vivek Pathak, IFC director for East Asia and the Pacific, said, “The issuance is an example of BDO’s leadership in developing climate finance in the country. By building on our long-term partnership with BDO, we aim to create a vibrant green bond market in the country and stimulate private sector investment in renewable energy and energy efficiency.</p>
<p>Pathak added, “Further, by setting the standard and the benchmark for green bonds issued in accordance with the Green Bond Principles which IFC helped develop, we hope to pave the way for other issuers and investors to access financing through this product, at a time when demand for green infrastructure and other sustainable investments is high.”</p>
<p>The green bond will provide an alternative source of long-term green financing and contribute to the Philippines’ target of reducing carbon emissions by 70 percent by 2030 relative to its business as usual scenario and conditioned on international support.</p>
<p>IFC is invested in reducing carbon emissions. So far, in the last quarter of 2017, an IFC-led consortium of investors has finalized a <a href="https://mercomindia.com/ifc-led-consortium-invests-653-million-to-develop-13-solar-projects-in-egypt/" target="_blank" rel="noopener">$653 million</a> (~₹42.01 trillion) debt package to finance the construction of 13 solar power projects in Egypt. It has also agreed to invest <a href="https://mercomindia.com/cleanmax-solar-raises-ifc/" target="_blank" rel="noopener">$15 million (~₹964.52 million)</a> in the Indian rooftop solar developer CleanMax Solar.</p>


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