RDIF and Fortum invest in building Russia’s largest solar power plant

Press release, 01.03.2021

Moscow, March 1, 2020 - The Russian Direct Investment Fund (RDIF), Russia’s sovereign wealth fund, and Fortum, a leading Nordic energy company and a pioneer in solar and wind power generation, are investing in a project to build a solar power plant (SPP), with a capacity of 116 MW, in the Republic of Kalmykia. The station will become the largest solar energy facility in Russia.

The project will be implemented through a joint venture established by RDIF and Fortum, whose portfolio at the end of 2020 included wind power plants in the Ulyanovsk and Rostov regions with a total capacity of 350 MW.

It is expected that the first stage of the SPP, with a capacity of 78 MW, will begin supplying electricity to the wholesale electricity and capacity market (WECM) in the fourth quarter of 2021, and the SPP in Kalmykia will begin full-scale operations in the second half of 2022.

The solar power plant in Kalmykia will be built following the result of a competitive selection of investment projects for the construction of generating facilities using renewable energy sources held in 2018 and 2019.

Kirill Dmitriev, CEO of the Russian Direct Investment Fund, said:

“The investment in the construction of a solar power plant in Kalmykia is aimed at developing a joint platform with Fortum and creating one of the largest renewable energy players in the Russian Federation. An important part of the project is the use of Russian made equipment. RDIF expects significant growth in the renewable energy segment in Russia in the coming years and intends to make a significant contribution jointly with partners to the creation of new eco-friendly energy capacity.”

Alexander Chuvayev, Executive Vice-President of Fortum and Head of the Russia Division, said:

“The construction of the largest solar power plant in Russia will help develop our cooperation with RDIF. An ambitious joint project in renewable energy will contribute to both the development of an innovative industry in Russia and the establishment of Kalmykia as one of the leaders in the use of clean, renewable energy. Fortum is a consistent supporter of active actions on the climate agenda and is committed to the goals of sustainable development and the principles of responsible investment.”

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Russian Direct Investment Fund (RDIF) is Russia's sovereign wealth fund established in 2011 to make equity co-investments, primarily in Russia, alongside reputable international financial and strategic investors. RDIF acts as a catalyst for direct investment in the Russian economy. RDIF’s management company is based in Moscow. Currently, RDIF has experience of the successful joint implementation of more than 80 projects with foreign partners totaling more than RUB1.8 tn and covering 95% of the regions of the Russian Federation. RDIF portfolio companies employ more than 800,000 people and generate revenues which equate to more than 6% of Russia’s GDP. RDIF has established joint strategic partnerships with leading international co-investors from more than 15 countries that total more than $40 bn. Further information can be found at rdif.ru

Fortum is a European energy company providing customers with electricity, heating and cooling as well as smart solutions to improve resource efficiency in more than 40 countries. The Company strives to encourage its customers and society to play their role in making the world cleaner. Together with its subsidiary, Uniper, Fortum ranks third company in Europe in energy production with zero CO2 emission. With over 19,000 professionals and combined assets of 69 bn euros Fortum is well placed to play a leading role in European energy transition. Fortum shares are traded at Nasdaq Helsinki, Uniper is traded at Frankfurt Stock Exchange. Further information can be found at www.fortum.com

For additional information contact:

Alexey Urazov                                                 Andrew Leach / Maria Shiryaevskaya
Russian Direct Investment Fund                                 Hudson Sandler
Director for External Communications               Tel: +44 (0) 20 7796 4133 
Mobile: +7 915 312 76 65                         
E-mail: Alexey.Urazov@rdif.ru