Avaada Group, a renewable energy company, is set to invest ₹2.5 lakh crore over the next seven years to establish manufacturing units for ingots, wafers, and glass, according to its chairman, Vineet Mittal. This investment aims to strengthen its position in the renewable energy sector.
In June, Global Power Synergy Public Company (GPSC), a subsidiary of Thailand’s state utility PTT, invested $233 million (₹1,916.7 crore) in Avaada Energy, following an earlier $68 million investment in April 2023. Additionally, Avaada Ventures, Mittal’s holding company, raised $1 billion from Brookfield’s Global Transition Fund in April 2023, earmarked for its green hydrogen and green ammonia projects.
Mittal highlighted that the pace of these investments is contingent on the availability of transmission infrastructure. He pointed out that HVAC (high-voltage alternating current) and HVDC (high-voltage direct current) systems could resolve grid-related challenges, noting that advanced conductors in HVAC can handle up to 16,000 megawatts on the same corridor, though at a higher cost.
Avaada’s future investments depend on how letters of award translate into power purchase agreements and the availability of the transmission lines allocated to the company. The company is expanding its manufacturing capabilities with a second solar module factory in Nagpur and plans to build a third in Greater Noida. Once complete, these facilities will have a combined capacity of 13.5 gigawatts of solar panels and 10 gigawatts of cell manufacturing.
Avaada Group is focusing on large-scale renewable projects, including solar modules, green hydrogen, green ammonia, green methanol, and sustainable aviation fuel. Mittal expressed concerns over insufficient investment in local renewable manufacturing and mentioned that the company is compelled to enter the glass-making business due to the lack of localized manufacturers.
To promote collaboration, Avaada is offering partners the opportunity to co-locate operations with access to capital and interest subsidies, green power, and joint investments in equipment. This effort aims to localize the renewable energy ecosystem in India.
