Total, a French oil and gas major, has entered into an agreement with Adani Green Energy Limited  (AGEL) to acquire a 50% stake in a joint venture company for $510 million (~₹36.26 billion).

The agreement will lead to the transfer of 2,148 MW (AC) of operating solar assets, which are currently owned by AGEL to the new joint venture company. AGEL will own the remaining 50% stake in the company.

These projects are spread over 11 Indian states and have a cumulative capacity of over 2 GW. All the projects benefit from nearly 25-year power purchase agreements (PPA) with national and regional electricity distributors.

This latest collaboration highlights AGEL and Total’s commitment to address India’s growing demand for renewable power and help meet India’s climate change goals.

Speaking on this latest development, Adani Group Chairman Gautam Adani commented, “We are delighted to extend our long-term partnership with Total to our renewable energy business in AGEL. This is a pivotal step in our journey towards building the world’s largest solar power company by 2025 and the world’s largest renewable power company by 2030.”

Echoing a similar sense of optimism, CEO of Total, Patrick Pouyanné said, “Total is fully engaged in the energy transition and to supporting India, a key country in the fight against climate change, in diversifying its energy mix through partnerships in natural gas and now in solar energy. This interest in over 2 GW of solar projects represents a real change of scale of our presence in India’s renewable energy sector, which has very significant growth potential in the coming years. It will contribute to our ambition to deploy 25 GW of renewable energy by 2025.”

In its Solar Market Leaderboard 1H 2019, Mercom India Research reported that Adani was the largest project developer in terms of cumulative solar installations as of June 2019.

Recently, AGEL announced its financial results for the nine months (9M) and quarter ending December 31, 2019. The total revenue for the company from operations in the first nine months of the financial year stood at ₹18.53 billion (~$260.12 million), up by 35% on a year-on-year (YoY) basis. The revenue from power generation was up by 7% YoY to ₹14.64 billion (~$205.51 million) from ₹13.71 billion (~$192.45 million) during the same period last year.

Earlier, AGEL had announced that its subsidiaries, Adani Renewable Energy Limited, Wardha Solar (Maharashtra), and Kodangal Solar Parks Private Limited, have approved the issuance of dollar-denominated 20-year senior secured green bonds amounting to $362.5 million.