- ReNew Power and SECI have entered into a PPA for RTC electricity supply from renewables for 25 years
- It involves the supply of 400 MW renewables capacity which will enable the deployment of 900 MW of wind and 400 MW of solar energy, and energy storage
- Power generated will be supplied to SECI for INR 2.90 per kWh tariff for the 1st year, which will increase by 3% annually for the initial 15 years of the contract
- ReNew Power plans to set up this capacity in the states of Karnataka, Maharashtra and Rajasthan
- Power supplied will be supplied to procuring utilities at an affordable rate while meeting their RPO targets
Indian renewable energy company ReNew Power has announced securing a 25-year power purchase agreement (PPA) for round-the-clock (RTC) electricity supply for 400 MW capacity, which will enable the deployment of 900 MW of wind energy and 400 MW of solar power, along with battery energy storage. The company called it the ‘1st’ of its kind PPA in India.
It entered the RTC PPA with the Solar Energy Corporation of India (SECI) whose 2020 auction it had won to supply this clean energy for INR 2.90 per kWh for the 1st year (see INR 2.90/kWh Tariff For 400 MW India RTC Tender). The tariff is scheduled to go up by 3% annually for the initial 15 years post which it will stabilize for the remaining 10 years.
The company plans to set up these solar farms in the states of Karnataka, Maharashtra and Rajasthan where it has secured requisite grid connection approvals and connectivity through inter-state transmission system.
Calling ‘innovative projects’ like these as the ‘future of renewable energy’ in the country, SECI’s MD JN Swain said this PPA will supply procuring utilities with RTC electricity supply from renewables at an affordable rate while meeting their RPO targets.
ReNew Power expects to incur $1.2 billion on the project that will be designed to operate at an 80% average annual plant load factor (PLF) and a minimum capacity utilization factor of 70% on monthly basis.
Founder, Chairman and CEO of ReNew Power, Sumant Sinha stated this agreement allows it to offer a value-added product to the grid while also providing it a ‘competitive advantage’.
ReNew Power recently identified Gujarat as its 2 GW solar cell and module manufacturing location for monocrystalline PERC and large wafer technology (see ReNew Power Unveils 2 GW Solar Manufacturing Plans).