Stockholm, July 2, 2024 – Swedfund, the Swedish development finance institution, announced a $10 million equity investment in Xurya, an innovative Indonesian solar rooftop company. The investment is part of a $55 million funding round led by Norfund and with participation from Clime Capital, AC Ventures and British International Investment (BII).
This investment will be Swedfund’s first equity investment in the renewable energy sector in Indonesia, a country that plays a crucial role in global efforts to mitigate climate change. Indonesia has a population of 250 million, the fourth largest in the world, and is a major energy producer and consumer. Xurya enables commercial and industrial businesses across the country to adopt solar energy with no upfront costs, replacing fossil fuel-based electricity generation. This will result in significant reductions in CO2 emissions, job creation and sustainable economic development.
– This investment in Xurya is an important milestone for Swedfund, which reinforces its commitment to renewable energy in Southeast Asia. We believe that by supporting pioneering companies like Xurya, we can help accelerate the transition to a sustainable energy future, said Maria Håkansson, CEO of Swedfund.
“We are proud to partner with Xurya for our first equity investment in the renewable energy sector in Indonesia. With a shared mission to combat climate change in a high-emission country and a strong focus on measurable impact indicators, we look forward to actively contributing to a sustainable impact for people and the environment,” said Gunilla Nilsson, Investment Director, Energy & Climate at Swedfund.
As the world’s largest archipelago, Indonesia is one of the countries most vulnerable to the negative impacts of climate change. To address this risk, the Indonesian government has developed a roadmap to achieve net-zero emissions by 2060, which includes increasing the share of renewable energy such as solar power in the national energy mix. Swedfund’s investment supports Indonesia’s transition to a low-carbon economy.
To date, Xurya has developed over 170 solar projects in Indonesia. Xurya’s solar systems have avoided 152,000 tons of CO2 emissions per year and created over 1,600 green jobs. With the capital raised from this round, the company is expected to avoid an additional 370,000 tons of CO2 emissions per year.
Swedfund, through its active participation, hopes to improve Xurya’s ability to manage the environmental, social and corporate governance aspects of its business, thereby ensuring that the company’s growth is sustainable and aligned with best practices.
About PT Xurya Daya Indonesia
PT Xurya Daya Indonesia (Xurya) is an Indonesia-based renewable energy company with a vision to revolutionize the Indonesian energy sector. Xurya pioneered the zero-down payment leasing method to incentivize commercial and industrial businesses to switch to solar energy. Xurya strives to facilitate businesses to use clean and renewable energy by providing complete solutions to its customers, ranging from financing options, engineering design, feasibility studies, installation, operation and maintenance.
Xurya has installed and operated rooftop solar systems in more than 100 companies in various industrial sectors, such as hotels, shopping malls, hospitals, cold storage, logistics, industrial areas and manufacturing (mineral water, steel, car tires, vegetable seeds, concrete, paint, consumer goods, ceramics, chemicals, food, textiles, etc.). Xurya rooftop solar systems are spread throughout Indonesia, from North Sumatra, South Sumatra, Lampung, Jakarta, Banten, West Java, Central Java, East Java, Bali, South Kalimantan and South Sulawesi.
