ADB has announced $434.5 million for a grid-connected solar PV project in India’s Assam
This 500 MW PV facility is to be supported with a grid-connected BESS component
It will also mobilize private investment in renewable energy and support the development of a 250 MW project as well
The Asian Development Bank (ADB) has approved a loan of $434.25 million for a grid-connected solar PV plant in the Indian state of Assam with a 500 MW installed capacity. It will also be accompanied by a grid-connected battery energy storage system (BESS) to meet peak power demand and ensure grid stability.
The BESS component will be established through a joint venture (JV), Tripura Power Company Ltd. It is a JV between the Assam Power Distribution Company Limited (APDCL) and the Oil and Natural Gas Corporation Ltd.
The ADB plans to provide an additional $1 million technical assistance grant from its Clean Energy Fund to support project implementation, awareness-raising, and capacity building.
According to the bank, this project in Assam’s Karbi Anglong district will improve the state’s energy security by increasing its renewable energy capacity.
“Addressing the renewable energy capacity shortage in Assam is crucial to meet growing demand and reduce dependency on fossil fuels,” said ADB Principal Energy Specialist Jiwan Acharya. “This project will help Assam develop a renewable energy road map and increase its solar energy capacity to achieve its target of 3,000 megawatts (MW) by 2030.”
The 500 MW project will boost Assam’s solar PV capacity as it had installed only 180.77 MW as of the end of September 2024, according to the Ministry of New and Renewable Energy (MNRE).
Additionally, the bank says this project will improve the distribution of electricity around the solar PV facility and neighboring rural areas by replacing overhead power distribution lines with aerial-covered conductor cables and installing new distribution transformers.
The bank’s backing will also mobilize private sector investment into renewable energy, and help establish a public-private partnership (PPP) agreement for an additional 250 MW solar PV capacity in Karbi Anglong.
Earlier in 2022, APDCL had launched a call to seek consultants for a 1 GW grid-connected solar PV project, funded by the ADB, under the Mukhya Mantri Sauro Shakti Prokolpo scheme (see BOS & Consultancy Tenders For 2.2 GW Solar Capacity In India).