Hero Future Energies (HFE), the renewable energy arm of Hero Group, has entered into a strategic partnership with Japan-based Sumitomo Corporation for the development of an approximately 500 MWp wind and solar power project with large-scale battery energy storage in Bidar, Karnataka.
Under the partnership, Sumitomo Corporation will acquire a 49% stake in the special purpose vehicle (SPV) developing the project, while HFE will retain the remaining 51% stake.
The project will combine wind and solar generation with battery energy storage, supporting the delivery of more reliable and flexible renewable power to the grid.
Rahul Munjal, Founder and Chairman of Hero Future Energies, said the partnership with Sumitomo Corporation reflects confidence in HFE’s capabilities to execute complex renewable energy projects at scale. He added that strategic partnerships can help bring together capital and execution capabilities to accelerate clean energy adoption as India progresses through its energy transition.
Jun Minase, General Manager, Overseas Energy Solution SBU at Sumitomo Corporation, said the company sees significant potential in HFE’s growth plans as renewable energy continues to account for a larger share of India’s energy mix. He added that the partnership will strengthen Sumitomo Corporation’s renewable energy business platform in India and create opportunities to support the stable supply of renewable power.
Srivatsan Iyer, Global CEO of Hero Future Energies, said the company has developed capabilities across project development, design and engineering, and execution of complex renewable energy projects designed to provide firm power to the grid.
He added that the partnership will strengthen HFE’s ability to execute its growing project pipeline and expand its clean energy portfolio across technologies and geographies.
The transaction comes amid growing interest from global strategic and institutional investors in India’s renewable energy sector. Increasing energy demand and the country’s focus on clean energy are driving the need for greater investment in renewable generation and energy storage infrastructure.
The availability of long-term capital is also expected to support the next phase of growth in India’s renewable energy market.
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