Serentica Renewables, a venture, between KKR and Vedanta has successfully obtained loans worth ₹2,600 crores for energy projects that aim to meet the demand, for captive energy. With the support of KKR’s $650 million investment, this initiative focuses on developing wind projects in Karnataka with a goal of achieving a capacity of 400 MW. This will also benefit Balco, a subsidiary of Vedanta as it aligns with Serentica’s objective of generating 5000 MW of carbon power.
A joint venture between KKR and Vedanta, known as Serentica Renewables, has secured loans amounting to ₹2,600 crore to fund upcoming green power initiatives. These projects are being developed to cater to the captive energy requirements of Vedanta group enterprises.
The collaboration, where KKR has already invested more than $650 million, has finalized a 19-year loan from Power Finance Corporation. This financial arrangement will facilitate the construction of solar and wind projects in Karnataka.
The aggregated cost of these ventures approximates ₹3,500 crore, and their combined power generation capacity is anticipated to reach around 400 megawatts. Specifically designed to fulfill the captive energy demands of Vedanta Group’s subsidiary, Balco, these initiatives have garnered attention.
A spokesperson representing Serentica Renewables articulated, “As we proceed with our mission to establish 4000 MW of renewable energy installations, Serentica is actively engaged in securing financial agreements with various national and international lenders. Nonetheless, we are unable to comment on individual transactions.”
With KKR holding a dominant 65% stake and Vedanta possessing the remaining 35%, Serentica Renewables operates as a joint venture. The enterprise is actively constructing renewable energy projects, with a collective capacity to generate over 1.5 gigawatts of power.
The organization envisions establishing a carbon-neutral capacity of 5000MW, coupled with diverse energy storage technologies. Ultimately, the ambition is to supply more than 15 billion units of clean energy annually, effectively offsetting 20 million tonnes of CO2 emissions. This narrative is outlined on the company’s official website.
Serentica Renewables focuses primarily on the commercial and industrial sectors of power consumption, which collectively account for nearly half of India’s total power requisites. Vedanta’s stake in Serentica Renewables is represented by Pratik Agarwal, the Managing Director of Sterlite Power, on the board of directors.
Established in March of the previous year, Serentica received its initial investment of $400 million from KKR in November and subsequently secured an additional investment of $250 million in May of the current year.
