JAKARTA: PT Xurya Daya Indonesia (Xurya), a solar power rental and installation startup, has secured US$55mil worth of new funding, which the company plans to use to fuel the firm’s goal of competing in the international market.

With this additional investment, Xurya had received over US$88mil in total funding, the startup announced on Monday.

“With the support of these world-class investors, we will not only continue to innovate to support the national sustainable energy transition, but also aim to become a global company in the coming years,” Xurya managing director Eka Himawan said in a statement.

The investment comes from funds managed by Norwegian’s Norfund, Sweden’s Swedfund, Singaporean Clime Capital, British International Investment (BII) and AC Ventures.

The first three are known to manage the Norwegian Climate Investment Fund, the Development Finance Institution and the Southeast Asia Clean Energy Fund II, respectively.

It was the first time Norfund, Swedfund and the BII provided funding for the company while the rest had participated in earlier funding.

Eka said the fresh funds would help the firm compete on a global scale. Following the investment, Xurya projected it would increase its contribution to reducing carbon emissions by 370,000 tonnes of carbon dioxide (CO2) annually, Eka added, reaffirming the company’s commitment to Indonesia’s net-zero emissions target by 2060.

“This is a very ambitious goal set by the government, but we believe that through collective efforts, we can achieve it,” Eka said. “Xurya is ready to collaborate with all parties to reach this target.”

South-East Asia’s largest economy has committed to cutting carbon emissions by relying less on coal and more on renewable sources of energy, but progress has been slow.

Renewables only made up 13% of Indonesia’s energy mix last year, according to the Energy and Mineral Resources Ministry’s data.

The figure only marked a minuscule increase from the 12.3% achieved the previous year.

Xurya, founded in 2018, is an Indonesian company that offers a no-upfront-cost rooftop solar photovoltaic panel rental scheme, with commercial and industrial corporate players making up the bulk of its clients.

The company has installed over 170 solar power systems across Indonesia, which it says has helped avoid 152,000 tonnes of CO2 emissions annually, creating more than 1,600 green jobs to date.

“Norfund is excited to lead this investment round in Xurya. We are mobilising both private and public capital into companies that are vital to Indonesia’s energy transition,” Norfund renewable energy SVP Anders Blom said in the same statement.

“This investment aligns with the Climate Investment Fund’s mission to reduce greenhouse gas emissions,” Blom added.

 - ANN