The Asian Development Bank (ADB) in its recent announcement has unveiled that it will be investing about USD 40 million on a project-finance basis in Indonesia’s first utility-scale solar photovoltaic (PV) plant, developed by Vena Energy. Reportedly, the loan package from ADB is part of a dual phased portfolio financing total of over USD 160 million for investments in Indonesia renewable energy market.
According to sources, the investment will significantly help regional renewable energy industry player Vena Energy to build, operate, & maintain a portfolio of energy projects that includes four solar PV plants and a wind farm.
For the record, Vena Energy is currently the largest renewable energy IPP (independent power producer) in the Asia Pacific region with 11 GW of projects that are in operation, under construction, and in development phases.
Reports reveal that in the first phase, ADB invested around USD 120.8 million in a 72 MW wind power plant being developed by a subsidiary of Vena Energy, through its two trusted funds – the Canadian CFPS II (Climate Fund for the Private Sector in Asia II) and Leading Asia’s Private Infrastructure Fund (LEAP) in December 2017.
The second phase includes ADB’s financing package totaled USD 40.2 million for three 7 MW solar PV power plants in Selong, Sengkol, and Pringgabaya in Lombok, West Nusa Tenggara, and another 21 MW solar PV power plant in Likupang, North Sulawesi, that are being developed by four subsidiaries of Vena Energy.
Experts familiar with the matter reported that the move to assist the region’s changing renewable energy market with an innovative portfolio approach, has added more than 114 MW of clean energy to Indonesia’s electricity grid. It has been further reported that ADB and Vena Energy’s combined efforts have helped in reducing the country’s growing dependence on fossil fuels, while promoting rapid developments in the renewable energy industry.