French mining company Total wants to gradually shed its dependence on oil production. It has therefore agreed to buy a fifth stake in an Indian energy firm that focuses on the use of renewables.
Total’s total investment is expected to reach about $2.5 billion. For this money, Total is to acquire a 20% stake in Indian energy company Adani Green Energy Limited (AGEL), which uses renewable sources for energy production. And also one chair in charge of the company. Fifty percent of the company that operates photovoltaic power plants is also included.
AGEL is part of the Indian conglomerate Adani Group, with a market capitalization of more than twenty billion dollars. Total wants to gradually shed its dependence on oil revenues and increase its renewable assets.
By 2025, it plans to increase ownership of installed capacity in renewable sources from the current nine to 35 gigawatts. And investing in AYL is intended to help Total significantly in fulfilling this goal. AGEL wants to increase its installed renewable energy production capacity to 25 gigawatts within five years.