As India’s energy needs grow, the country faces a clear challenge: how to meet demand without depending entirely on fossil fuels. KPI Green Energy Ltd, a Gujarat-based renewable energy company, has taken a major step toward cleaner power by launching India’s first externally credit-enhanced Green Bond.
The ₹670 crore bond issue, aimed at funding new solar, wind, and hybrid power projects, marks a first in the Indian market. It carries a coupon rate of 8.5% per annum and follows a five-year amortising repayment structure. The bond is backed by a 65% guarantee from GuarantCo, an international infrastructure finance firm supported by the governments of the UK, Australia, Switzerland, the Netherlands (via FMO), France, Sweden, and Canada.
GuarantCo’s backing helped KPI Green secure a AA+ (CE) rating from CRISIL and ICRA—significantly improving the bond’s credit profile. This allows a wider pool of investors to participate in funding clean energy infrastructure, opening a new path for sustainable financing in India.
The bond proceeds will be used to scale up renewable capacity across the country. According to estimates, the projects supported by this funding will supply clean electricity to over 2 lakh people and various businesses, while helping avoid approximately 344,000 tonnes of CO₂ emissions annually.
A bell-ringing ceremony at the National Stock Exchange (NSE) was held to mark the occasion. It was attended by Dr Faruk G Patel, Chairman & Managing Director of KPI Green Energy, and Ashish Chauhan, MD & CEO of NSE, along with members of the KPI leadership team.
This bond issue is not only a financial innovation but also a policy milestone. It reflects growing interest among both public and private players to support India’s clean energy goals while strengthening domestic bond markets. By introducing external credit support, KPI Green’s move sets a precedent for other companies to tap global and domestic capital more effectively—especially for projects aligned with environmental goals.
Founded in 2008, KPI Green Energy has steadily built its renewable portfolio. As of early FY 2025–26, the company has installed 1 GW of capacity in solar and hybrid power. It currently holds over 3 GW in pipeline projects and has already prevented 2.1 million metric tonnes of CO₂ emissions. The broader KP Group has energized 6 GW of projects, which the company says is equivalent to planting 260 million trees.
Looking ahead, KPI Green has set a target of 10 GW of renewable capacity by 2030. The success of this Green Bond brings it a step closer to that goal. Dr Patel, CMD of KPI Green, summed up the initiative with a reminder that goes beyond business “We don’t own this planet—we’re borrowing it from future generations. Our job is to leave behind cleaner air and a healthier world. Renewable energy isn’t just a business opportunity—it’s a responsibility toward people and the planet.”
KPI Green Energy, a part of the KPI Global Infrastructure Ltd, is a prominent player in India’s renewable energy sector, specializing in solar power generation. The company focuses on harnessing solar energy to deliver sustainable and cost-effective power solutions. With a commitment to clean energy, KPI Green Energy has established itself as a key contributor to India’s transition towards renewable energy.
The company operates a range of solar power projects, including large-scale solar parks and rooftop solar installations, catering to both residential and commercial sectors. KPI Green Energy’s portfolio includes power plants with a combined capacity of over 100 MW, making it one of the leading players in India’s renewable energy landscape.
KPI Green Energy not only focuses on energy production but also on energy storage and distribution, ensuring that clean power is available consistently. The company’s efforts align with India’s ambitious renewable energy targets and contribute to reducing carbon emissions and dependency on fossil fuels.
Through continuous innovation and investment in cutting-edge technology, KPI Green Energy is well-positioned to meet the growing demand for green power, fostering a cleaner and more sustainable future for generations to come. The company is dedicated to driving India’s renewable energy goals and is a crucial part of the global effort to combat climate change.
