ReNew secures $1 billion loan for 1.3 GW renewables project

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ReNew secures $1 billion loan for 1.3 GW renewables project

ReNew secures $1 billion loan for 1.3 GW renewables project

Source: https://www.pv-magazine-india.com/2022/08/18/renew-secures-1-billion-loan-for-1-3-gw-renewables-project/

Author: Uma Gupta

ReNew Power has secured a $1 billion loan for a renewables project in India. The financing came from 12 international lenders, led by Rabobank. ReNew Power is developing the 1.3 GW hybrid wind-solar energy project, which will be supplemented with up to 100 MWh of battery storage. The project will supply 400 MW of round-the-clock power to Solar Energy Corp. of India (SECI). It will involve the development of wind and solar farms across the Indian states of Karnataka, Rajasthan, and Maharashtra. This loan -  the single-largest project finance in India’s renewable sector – highlights the interest of global lenders in ReNew as it helps spearhead India’s historic clean energy shift. Japan’s Mitsui owns a 49% stake in the ReNew Power project. Under the 25-year power purchase agreement, the project will supply electricity in the first year at a tariff of INR 2.90/kWh ($0.036). The tariff will increase by 3% per year over the first 15 years of the 25-year power supply deal, before becoming a fixed payment for the remaining period of the project.