RDIF, Tata Power to increase energy investment between India and Russia
MOSCOW. Dec 11 (Interfax) - The Russian Direct Investment Fund (RDIF) and Tata Power, part of the Tata Group and one of India's leading electricity generation companies, have signed a Memorandum of Understanding to develop investment opportunities in the energy sector, the RDIF said in a statement.
The agreement was signed during the state visit of Russian President Vladimir Putin to India.
RDIF and Tata Power will cooperate on identifying and targeting investment opportunities in the energy sector across Russia in order to develop mutually beneficial transactions.
Tata Power has large installed generation capacity and a presence in all the segments of the power sector including generation (thermal, hydro, solar and wind), transmission, distribution and trading.
The amount of investment will depend on specific projects, but the amounts being discussed are hundreds of millions of dollars. One project that the company is interested in is a coal project in the Far East, but a number of investment opportunities in power generation in Russia and India (with support there of Russian companies) are also being considered. The RDIF did not comment on the details.
"RDIF has identified the energy sector as one of its key priorities for increasing Russia's economic efficiency and sustainability. Our collaboration with Tata Power will not only introduce a new, established player into the Russian market, but will provide opportunities to leverage Tata Power's high-class expertise in renewable energy production and implementation of large-scale international projects," said Kirill Dmitriev, CEO of the RDIF.
"It gives us immense pride to announce our association with Russian Direct Investment Fund. RDIF is known to be reliable and world class financial and strategic investor and Tata Power looks forward to working with them on identifying opportunities across the energy chain, thereby strengthening India's relations with Russia. The signing of this MOU is a significant milestone for Tata Power and we endeavour to be a significant player in the international energy market," said Anil Sardana, CEO & Managing Director of Tata Power.
