ReNew Power’s Cumulative Portfolio Now 12 GW+

• ReNew Power has entered PPAs for around 2 GW solar power capacity with various offtakers in India
• With SECI, it has signed PPAs for 1.375 GW and with PSPCL for 100 MW capacity; 491 MW has been secured by its corporate clients
• Company said it will use its own solar module for these projects from the 2 GW capacity it is building in Gujarat

Indian renewable energy independent power producer (IPP) and NADAQ listed ReNew Power has scaled up its total portfolio of renewable energy capacity to 12.1 GW, up from 10.2 GW at the beginning of CY 2022, thanks to the company bagging around 2 GW solar power purchase agreements (PPA).

Of the 5 PPAs signed, it has secured 4 PPAs with the Solar Energy Corporation of India (SECI) with 2 of these for 600 MW and 375 MW (under SECI Rajasthan IV scheme) will have ReNew supplying electricity at INR 2.18 ($0.029) per kWh. The remaining 2 agreements for 300 MW and 100 MW (under SECI IX scheme) carry a tariff of INR 2.37 ($0.031) per kWh.

Another PPA has been signed with the Punjab State Power Corporation Limited (PSPCL) for 100 MW capacity tied to a tariff of INR 2.33 ($0.030) per kWh.

Additionally, it has also secured corporate offtakers for 491 MW capacity with tariffs ranging between INR 3.06 and INR 3.95 ($0.040 to $0.052) per kWh. These companies it identifies as including a large US-based global technology major, Grasim Industries of Aditya Birla Group and Netmagic which is a subsidiary of Japan's NTT Communications. ReNew counts its corporate portfolio as now having increased to over 900 MW.

Analysts at Roth Capital Partners believe this signing of PPAs is a signal of increasing demand for power in India as the country emerges from the pandemic, as well as shortage of coal and growing heat waves.

The company said it will source solar modules for all these projects from its 2 GW manufacturing fab and sourced through tolling contracts with domestic suppliers, meaning it would be able to insulate itself from the Basic Customs Duty (BCD) imposed on imported solar cells and modules from April 1, 2022 (see India Imposes Basic Customs Duty On Cells & Modules).

Justin Clare of Roth said, "We expect the  2GW of module capacity to be available by FQ4'23 with the cell capacity available by FQ1'24." ReNew Power is bringing online monocrystalline PERC and large wafer technology at its 2 GW fab in Gujarat (see ReNew Power Unveils 2 GW Solar Manufacturing Plans).