EKI Energy, ICAM join hands to launch Rs1,000 crore Climate Impact Fund; stock zooms ~3%

18 Oct 2022 , 11:52 AM

EKI Energy Services Limited informed today that it will invest up to Rs200 crore in a climate impact fund formed in collaboration with Impact Capital Asset Management Pte. Ltd. (ICAM), a fund management firm established in Singapore.

The Rs1,000 crore (125 million USD) fund is India's first of its kind. EKI will invest up to Rs200 crore in this fund in stages, with the goal of empowering GHG Mitigation initiatives across the country and abroad.

To meet its objectives of improving lives while also greening the planet, the Fund will specifically focus on high-impact community development projects such as clean cooking through the large-scale deployment of energy-efficient improved cook stoves (ICS), access to clean drinking water through water filtration systems, energy saving lighting solutions such as LED Bulbs, and waste management, among others.

This effort will broaden EKI's global reach and expand its global customer network. The projects would generate high-quality carbon credits for their investors by delivering significant emission reductions.

The investors could use these credits to offset their own carbon emissions in accordance with local law or earn monetary benefits by selling the carbon credits in various carbon markets such as CORSIA, domestic emission trading schemes, Article 6.2/6.4 of the Paris Agreement, and international voluntary markets subject to relevant host country approvals.

Geographically, the initiatives will be implemented in distant areas of India as well as chosen nations in Africa, Asia, and Latin America.

EKI provides businesses with climate change and sustainability solutions to assist them to reach their carbon neutrality goals. The firm provides end-to-end management of carbon assets, including carbon credit creation, supply, monetization, and offsetting.

At around 11.40 AM, EKI Energy Services was trading 2.54% higher at Rs1,722 per piece, against previous close of Rs1,679.90 on BSE. The counter hit an intraday high and low of Rs1,775 and Rs1,661.05 respectively.

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