AP Moller in clean energy race, ArcelorMittal to add capacity

MUMBAI: From solar parks in the desert to wind farms along the coast, India’s clean energy transition is attracting a growing queue of global capital. Copenhagen-based AP Moller Capital is making its first private equity investment in India, backing a new renewable energy platform that will develop 900 MW of clean energy capacity. While this marks a new chapter for the institutional fund arm, the wider AP Moller Group-best known for running the Maersk shipping line-has had a presence in India for over three decades. The platform’s local partner is Rays Power Infra, a Mumbai-based renewable energy developer. Rays Power operates a portfolio of 11.6 GW across solar, wind and hybrid projects, and recently filed IPO papers to raise Rs 1,150 crore. For AP Moller Capital, the India foray also deepens its Asian footprint, where it has backed the development of over 2 GW of renewable capacity so far.At the same time, steel giant ArcelorMittal is doubling down on clean power in India. The company plans to invest $900 million to add another 1 GW of solar, wind and battery storage capacity, taking its total renewable portfolio in the country to 2 GW. The electricity generated from these projects will feed directly into AMNS India, ArcelorMittal’s joint venture with Japan’s Nippon Steel, helping power its steelmaking operations with greener energy.The new projects will be in three states: a 36 MW solar plant in Amaravati, Maharashtra; a 400 MW solar project paired with 500 MWh of battery storage in Bikaner, Rajasthan; and a mix of 250 MW of wind, 300 MW of solar and 300 MWh of integrated battery storage in Bachau, Gujarat. These investments reflect a broader global shift. With renewables accounting for nearly a third of global electricity generation in 2024, investors-ranging from private equity funds to industrial majors-are increasingly drawn by the sector’s rapid growth, and India is emerging as a compelling destination.