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OMC raises USD 12M funding and Impact Contribution to Renewable Energy based Access to Promote Reliable Energy in Rural India

PRESS RELEASE

2nd of September, 2021

OMC raises USD 12M funding and Impact Contribution to Renewable Energy based Access to Promote Reliable Energy in Rural India

OMC announces that it has secured new funding from its strategic partner Mitsui & Co., Ltd , Japan to boost its financial resources for investment in renewable energy based minigrid projects and other future developmental needs.

This funding will help accelerate the deployment of OMC’s minigrid based power solutions for customers currently without access to reliable electricity and ancillary services. India has experienced rapid economic growth, consequent to which the demand for reliable electricity has been increasing. In the medium term, OMC aims to operate 5,000 renewable energy based minigrid power plants (totaling to a generation capacity of 250 MW), which would deliver power to more than 50 million people, and enable us to be one of largest private sector player leading the transition towards reliable access to energy in rural Uttar Pradesh. In this journey as a new age private sector micro-utility aggregator, we see ourselves as complementing the excellent work already done by the Government.

Rohit Chandra, CEO of OMC Power private Limited, commented: “In the face of a pandemic and a global economic downturn, OMC and its customers not only weathered these challenging times but saw record growth that positions the company for an even stronger year ahead. With 275 plants in rural Uttar Pradesh, the Company is well poised to tap into large capital pools for its future expansion. OMC currently supplies Energy to over 200 Telecom Towers , 3,000 rural micro-enterprises and 17,000 rural households. OMC has a deep penetration in rural Uttar Pradesh with a distribution network of 250 Kms along with a distributed generation capacity of 15 MW.

Go Mizoguchi, Dept. General Manager in charge of infrastructure projects in Mitsui and a board member of OMC, mentioned “Until now, rural electrification in India has been primarily covered by fossil fuels such as diesel and kerosene, but OMC Power’s minigrid solution by combining solar power generation and battery storage is more reliable, environmental-friendly and cost competitive than existing solutions, and contributes not only to the development of regional economy, but also to reduction of greenhouse gas emissions. Our collaboration with OMC in this sector will be extended to other services for the communities around its minigrids, as well as expanded to rural electrification of other regions beyond India, such as Africa and other parts of Asia.”

Pariphan Uawithya, Director of the Power and Climate initiative at one of OMC’s partner The Rockefeller Foundation, commented: “We are excited to see that our financing and technical assistance has enabled OMC to unlock close to USD40 millions of public and private capital. Throughout our collaboration, OMC has demonstrated the ability to continuously provide green and reliable electricity in rural India, especially during the Covid-19 pandemic. This has contributed to The Rockefeller Foundation’s goal of ending energy poverty, reducing greenhouse gas emissions, and spurring economic development in rural communities. We applaud the trust Mitsui has given to OMC and believe this new investment will further OMC’s ambition to help transform the lives of rural communities.”

ABOUT MITSUI

Mitsui & Co., Ltd. (8031: JP) is a global trading and investment company with a diversified business portfolio that spans approximately 64 countries in Asia, Europe, North, Central & South America, The Middle East, Africa and Oceania. Mitsui has over 5,600 employees and deploys talent around the globe to identify, develop, and grow businesses in collaboration with a global network of trusted partners. Mitsui has built a strong and diverse core business portfolio covering the Mineral and Metal Resources, Energy, Machinery and Infrastructure, and Chemicals industries. Leveraging its strengths, Mitsui has further diversified beyond its core profit pillars to create multifaceted value in new areas, including innovative Energy Solutions, Healthcare & Nutrition and through a strategic focus on high-growth Asian markets. This strategy aims to derive growth opportunities by harnessing some of the world’s main mega-trends: sustainability, health & wellness, digitalization and the growing power of the consumer.

Mitsui has a long heritage in Asia, where it has established a diverse and strategic portfolio of businesses and partners that gives it a strong differentiating edge, provides exceptional access for all global partners to the world’s fastest growing region and strengthens its international portfolio.

For more information on Mitsui & Co’s businesses visit, www.mitsui.com.

About The Rockefeller Foundation

The Rockefeller Foundation is a pioneering philanthropy built on collaborative partnerships at the frontiers of science, technology, and innovation to enable individuals, families, and communities to flourish. We work to promote the well-being of humanity and make opportunity universal. Our focus is on scaling renewable energy for all, stimulating economic mobility, and ensuring equitable access to health and nutritious food. For more information, sign up for the Rockefeller Foundation newsletter at rockefellerfoundation.org and follow on Twitter @RockefellerFdn.


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