Providing a strong thrust in realizing the PM's 'Make in India' dream, Essel Group, one of India's largest business conglomerates has entered into a joint venture agreement with J A Solar, China's leading solar energy firm, to launch a solar cell and module manufacturing company in India. The Memorandum of Understanding (MoU) for setting up the joint venture company with an approximately 50:50 partnership and equity arrangement was signed between Essel Infraproject (EIL), the flagship infrastructure arm of the Essel Group and JA Solar (JAS).
Essel Group was in Shanghai as part of the Indian Prime Minister NarendraModi’s delegation to China, to forge strategic partnerships for building integrated, inclusive, innovative and sustainable smart cities in India.
The JV company will set up a manufacturing facility in India with an estimated capital expenditure of USD 150 million (approximately Rs 9.50 billion) out of which USD 30-45 million (approximately Rs 1.90 to 2.85 billion) will be by means of equity funding. It will focus on using the latest cutting edge Photo Voltaic (PV) technology to manufacture solar cells, panels and modules in India. The facility is expected to turn out 500 MW of power per annum.
Essel Group is amongst the front runner in developing one of India's largest Solar Plants in the state of Tamil Nadu. And this JV is expected to boost Essel's on-going projects for renewable energy. Through this venture Essel will bring a range of global renewable energy solutions to India for use in a wide array of residential, commercial and mass utility based applications. The company is committed to develop and provide clean and renewable energy to overcome the deficit and pave the way towards a better environment for human kind.
Ashok Agarwal, CEO, Essel Infraprojects, said, 'We are pleased to announce our alliance with J A Solar as we believe that this venture will encourage bilateral trade investments which can best complement in terms of mass production from their end and precision being our forte. Presently, we plan to generate 500 MW of solar energy with reduced manufacturing cost and improvement in production volumes. Our MoU with Chinese partners will also provide a fillip to the 'Make in India' movement envisaged by our Prime Minister and will put Essel at the forefront in realizing his vision for developing Green Projects in India.'
The Essel Group has taken big strides in realizing the Indian Prime Minister Narendra Modi's dream of setting up 100 smart cities in India. It plans to invest over USD 2 billion over the next 3 years in transforming major cities across India. With a vision to enhance the quality of life, the Group associates with multiple partners to develop the smart city environment by decoding the governance policy framework. It is the only integrated smart city developer in India with proven expertise in creating the single window utility corridor.
