British power developer Lightsource Renewable Energy (LRE) has signed a deal to invest £2bn (€2.8bn) for setting up solar plants for up to 3GW of power generation in India.

The agreement will be extending over a five year period and is a part of commercial deals signed between India and the UK during the Indian Prime Minister Narendra Modi’s visit to the country last week.

Lightsource chief executive Nick Boyle commented :

“The government has ambitious plans to electrify India and Lightsource will contribute significantly to that goal. India will be a key market for Lightsource in the future.”

The commercial agreements have a cumulative worth of £9bn (€12.7bn) and cover multiple sectors, including insurance services, finance, healthcare and energy.

Lightsource’s commitment is expected to generate £42m (€59m) in revenue in the country, in addition to creating around 300 job opportunities.

UK-listed Indian firm OPG Power Ventures will also be investing around £2.9bn (€4.1bn) in the Asian country to set up another 4.2GW of new power projects.

OPG supported projects will include 1GW of solar farms and 3.2GW of thermal and renewable energy projects in Tamil Nadu, a state of India.

Other elements of the cooperation include the UK Climate Investments joint venture with the Green Investment Bank, which will invest up to £200m (€283m) in renewable energy and energy efficiency in India and Africa.