SECI is raising about INR 2,720 crore via domestic loans for a 700 MW solar project in Gujarat
The total project cost is INR 3,847 crore, backed by subsidy, VGF, and SECI equity
Power will be sold to GUVNL under a 25-year PPA at INR 2.45/kWh, with COD by February 2028
The Solar Energy Corporation of India (SECI) has invited scheduled commercial banks and financial institutions to offer a term of up to INR 2,720 crore for the development of a 700 MW AC grid-connected solar PV project in Radhanesda, Gujarat.
The estimated project cost is INR 3,847 crore, out of which it has secured INR 453.04 crore as solar park subsidy from the Ministry of New and Renewable Energy (MNRE) and Viability Gap Funding (VGF). SECI is investing INR 678.79 crore as equity.
It is now seeking around INR 2,720 crore through domestic commercial borrowings to meet the project’s capital expenditure requirement. According to SECI, the minimum amount to be offered by banks will be INR 500 crore and multiples of INR 10 crore. Loan repayment period must be 18 years, including a moratorium period covering the 19-month construction phase and an additional year.
The Radhanesda project is scheduled to enter commercial operations by February 6, 2028. Power generated will be supplied under a 25-year power purchase agreement (PPA) to Gujarat Urja Vikas Nigam Limited (GUVNL) at a tariff of INR 2.45/kWh.
Currently, SECI says the tendering for procurement of solar modules, power transformers, and balance of system (BOS) is in process for the Radhanesda project, to be located on around 1,105 hectares of revenue land in Tharad district (see SECI Launches Call For 870 MW Domestically Produced Solar Modules).
Being deployed under the Central Public Sector Undertaking (CPSU) Scheme Phase-II, the project is part of the 1.2 GW solar capacity SECI was awarded by the Indian Renewable Energy Development Agency (IREDA).
The remaining capacity of this 1.2 GW includes 300 MW in Ramagiri, Andhra Pradesh, which is due to come online by June 30, 2026. Another 200 MW is under construction in Dhar, Madhya Pradesh, to be commissioned by May 22, 2027. Both these projects will supply power to Madhya Pradesh Power Management Company Limited (MPPMCL).
Interested lenders can send in their proposals to SECI, latest by May 14, 2026, according to the request for proposal call.
As a state-appointed Renewable Energy Implementing Agency (REIA) to implement solar, wind, and hybrid power projects through competitive solicitations, SECI says it has awarded over 76.5 GW as of December 31, 2025. This includes 47.88 GW of solar, 16.6 GW of wind, and 12 GW of hybrid projects.
SECI has also been tasked with tendering 500 MW of renewable energy capacity to test the contracts for difference (CfD) model, backed by a INR 76 crore stabilization fund (see India Clears 500 MW Renewable Energy CfD Pilot).
