Solar India got a major boost with Japan’s SoftBank teaming up with Taiwan’s Foxconn and Bharti Enterprises to invest around $20 billion in Indian projects.
The Tokyo-based telecom giant said the project aimed to generate 20GW of energy through solar and wind power plants.
SoftBank founder Masayoshi Son said: “With this partnership, our goal is to create a market-leading clean energy company, to fuel India’s growth with clean and renewable sources of energy.
“The sunshine in India is twice that of Japan. Cost of land and labour and maintenance is also half that of Japan. So then, the efficiency of solar power generation is likely to be four times compared to that in Japan.”
His company, which has invested $1 billion in India over the last nine months, will help manufacture solar equipment in India. SoftBank, which is also the largest shareholder in Chinese e-commerce firm Alibaba, will have majority control in the new Delhi-headquartered three-way joint venture company, SBG Cleantech, with Bharti and Foxconn as minority stakeholders.
India’s power minister Piyush Goyal had recently described solar as the mainstay for the country in an India Inc. interview. The government’s vision is to hike production from 3 GW to 100 GW by 2022.
Coal dominates India’s energy mix at present and there is a drive to help move the country towards more renewable sources of energy as it enhances growth and creates jobs.
India’s big push toward clean energy generation comes ahead of the Paris climate summit that is scheduled for December this year during which leaders from around the world will aim to formulate a credible successor to the Kyoto protocol to address climate change.