EverSource to invest $1bn in India's renewable energy sector

EverSource Capital, the joint venture between private equity firm Everstone Capital and global solar project developer Lightsource BP, is looking to invest over $1 billion in renewable energy investments through its Green Growth Equity Fund. The National Investments and Infrastructure Fund (NIIF) of India and the UK government are anchor investors in Green Growth Equity Fund.

Dhanpal Jhaveri, Managing Partner, Everstone Capital and CEO, EverSource Capital, said: “We have done the anchor close. UK's DFID and NIIF and, we as GP (general partner), have committed significant capital. So, we are at $340-350 million, and close to 50 per cent of our target. We have now started the process to reach out to investors both in India and outside of India. The target is to raise around $700 million.”

This platform will have a minimum commitment of a billion dollars, through the fund and through co-investments. EverSource's mandate is to make green investments largely around decarbonisation of energy and its uses, including transportation, which differentiates it from other infra-focused investors operating in India, and are looking only at heavy assets such as wind and solar power firms.

Jhaveri added: “Energy decarbonisation is centred around using renewable as a source, whether it be solar, wind, offshore wind or hybrid, and provide it as clean energy to customers. In transportation, there is likely to be a rapid transition to electric mobility as costs of battery decrease. So, we are looking at investing in all those spaces. There is also the added agenda of investing in resource conservation, waste to energy, energy efficiency, water treatment, recycling, etc."