Page 14 - AsiaElec Week 02 2023

AsiaElec RENEWABLES AsiaElec

Japanese giants look to Indian

renewables startups in 2023

INDIA A number of big names in Japanese tech, motor- industry standards.”
ing and renewables industries including Toyota, Funding of small-scale private sector projects
Softbank and Toshiba are all reportedly looking was something Japan International Coopera-
to increase their investments in India this year, tion Agency (JICA) highlighted in early 2022,
in particular in renewable energy startups on the when senior vice president Keiichiro Nakazawa
sub-continent. pointed to investments in India’s private sec-
Speaking to the influential news portal India tor “estimated (at) around $400-500mn in India
Narrative, Takashi Suzuki, the chief direc- comprising six projects”.
tor-general for South Asia at Japan’s External These investments were centred primarily on
Trade Organisation (JETRO), highlighted climate change technology, with “Investments in
renewables in addition to tech and other forms technologies like green hydrogen something we
of digital infrastructure as key areas that some are definitely looking at,” Nakazawa said.
of Japan’s most internationally renowned names At the time, JICA also made known its inter-
are looking to invest in up to the end of 2023. est in promoting carbon capture programmes as
And across Japan a JETRO survey indi- well as other green tech options for the future.
cated that 72% of Japanese firms hope to follow Later in 2022, Mitsui of Japan went on
suit, compared with just 33% that are intent to invest in a 1,300-MW renewables project
on increasing business ties with neighbouring through its local subsidiary, MIT Power India.
China. Comprised of a trio of wind farms totalling
Much of this interest in India Inc. has been 900 MW in addition to a 400-MW solar bat-
put down to efforts by the central government tery storage site, the facility will ultimately be
in New Delhi to promote domestic startups connected to the infrastructure of India’s Solar
overseas, and in recent months these have been Energy Corporation (SECI).
catching the eye of growing numbers of venture At a total cost of $1.35bn, the project is cur-
capitalists. rently on track to be completed some time in the
One local subsidiary of the Toyota Group, early summer, with commercial operations to
Toyota Tsusho, has already invested heavily in start in August.
local Indian markets with Mayur Shah, the local “India will be great. There’s a bright future. I
head of Beyond Next Ventures (BNV), a Tokyo- tell young people in India, let’s make it (innova-
based venture capital fund, saying: “Our main tion) happen. I would support,” said Masayoshi
focus outside Japan is on India which, consists Son, founder of Japan’s Softbank Group.
of 20% of our portfolio. We see the current situa- A leading investor in Asia-based renewa-
tion in India as very similar to Japan’s early-stage ble energy programmes for well over a decade,
high economic growth. Young demographics in the Korean-Japanese billionaire has reportedly
Japan then and in India now feel that the “onus invested over $14bn in Indian programmes since
is on them to solve social and business problems 2013.
and not leave it to large corporations.” In 2018, the Institute for Energy Economics
Over $22mn has already been pumped into and Financial Analysis reported Son as inform-
Indian startups, much of this in the renewables ing Indian Prime Minister Narendra Modi that
sector by BNV, according to sources. he would personally “underwrite most of 100
Shah added: “(T)he low capital requirement GW with a $60-100bn Indian solar investment.”
to enter the business and the ability to scale on “I believe in the future of India. I believe in
account of the large and early adopter market the passion of young entrepreneurs in India,”
gives Indian startups a distinct chance to create Son was quoted as saying at the time.™

P14 www. NEWSBASE .com Week 02 10•January•2023