Norway’s Climate Investment Fund to invest Rs 500 crore in SAEL

A statement from the Norwegian Embassy in New Delhi said the investment will contribute to avoiding more than 2.8 million tonnes of CO2 emissions and improving air quality by reducing stubble burning.

“The new Norwegian Climate Investment Fund, managed by Norfund, announced at an event in New Delhi on 15 January that it is now making an equity investment in SAEL. The goal is to support the company’s ambition to grow its portfolio to 3 GW over the next five years by adding 100 MW of new biomass and 400 MW of new solar capacity annually in addition to its existing portfolio of 600 MW.

Every year, farmers in northern India are forced to burn agricultural stubble in their fields to remove the residue of paddy, resulting in severe air pollution in the region. SAEL has developed a business model where crop residue is used as fuel in waste-to-energy projects. SAEL has more than 20 ongoing and under construction projects in the areas of solar and agro-waste-to-energy.

Commenting on the development, Hans Jacob Frydenlund, Norwegian Ambassador to India, said: “This investment not only increases access to clean energy and improves income for farmers, but can also reduce air pollution related to stubble burning I am delighted that Norway can contribute to this through our new Climate Investment Fund.”

Fine particulate matter (PM 2.5) levels increase with the annual burning of crop residues, contributing to some of the world’s worst air quality. High levels of PM 2.5 have been linked to health effects such as asthma and decreased lung function, and burning of crop stubble also reduces soil quality, requiring increased use of chemicals that can cause other health problems. Causes.

“By collecting crop residues to be used as fuel in our waste-to-energy plants, we contribute to combating one of our country’s biggest health issues, as well as creating local jobs and farmers And also generate additional income for local entrepreneurs. This partnership with Norfund will fast-track the implementation of these projects, making us a leader in this space,” says Jasbir Awla, Chairman and Managing Director, SAEL Limited.

Based on the current Indian energy mix, the investment is estimated to contribute to the avoidance of over 2.8 million tonnes of CO2 annually, the statement said.

Mark Davies, EVP Renewable Energy at Norfund, says, “We are committed to contributing with the financing needed to help meet India’s energy needs, reach SAEL’s ambitions and contribute to reducing climate emissions and local pollution. Thrilled to be able to.”