ReNew Power announced the signing of five solar power purchase agreements (PPAs) with Solar Energy Corporation of India (SECI) and Punjab State Power Corporation Limited (PSPCL), as well as multiple long-term purchase agreements with corporate buyers totaling around 2 GW.
With these agreements, the company's gross total portfolio has increased to 12.1 GW, up from 10.2 GW at the start of the calendar year. The new utility solar projects will be located in Rajasthan, in western India, and will have flat tariffs for a period of 25 years. SECI has signed four solar power purchase agreements (PPAs).
The SECI Rajasthan IV scheme has two 600 MW and 375 MW PPAs, with ReNew supplying electricity at 2.18/kWh. Subject to the terms of the respective PPAs, ReNew recently acquired a beneficial interest in the 300 MW (SECI IX) and 375 MW (SECI Rajasthan IV) projects.
ReNew will supply electricity at 2.33/kWh for the PSPCL PPA of 100 MW. By the fourth calendar quarter of 2023, all of the projects should be completed.
Corporate buyers have signed long-term agreements with ReNew for the purchase of clean energy or renewable energy credits totaling 0.5 GW (491 MW), with energy tariffs ranging from $3.06 to $3.95 per kWh.
A large US-based global tech company, Grasim Industries (part of the Aditya Birla Group), and Netmagic are among the companies (a subsidiary of NTT Communications, Japan). ReNew now has a corporate portfolio of over 900 MW, making it one of the largest providers of renewable energy solutions to businesses.
Sumant Sinha, Chairman and CEO of ReNew, said of the recent spate of PPA signings, "ReNew is at the vanguard of India's clean energy transition. "We believe that our vertical integration, combined with our scale and ability to provide customised intelligent energy solutions, will enable us to win projects and achieve our goals."
"The addition of 1.9 GW, which is comfortably above our threshold returns, demonstrates ReNew's competitive advantages," Sinha added. The solar modules for these projects will be manufactured at ReNew's 2 GW module manufacturing facility and sourced through tolling agreements with domestic suppliers.
