Mahindra Renewables Pvt. Ltd., a wholly-owned subsidiary of Mahindra Susten Pvt. Ltd of the Mahindra Group, said it had achieved financial closure for its 250 MW solar power project which is to come up in Rewa district of Madhya Pradesh.
Yes Bank had provided project debt worth ₹750 crore while ₹200 crore had been mobilised from other financial institutions.
The project, part of the 750 MW Rewa solar park which is one of the largest solar parks in the world, is expected to generate more than 525 million units annually. While 78% of the power generated would be supplied to electricity distribution utilities in Madhya Pradesh, the balance 22% would be used by the Delhi Metro Rail Corporation.
Mahindra Renewables would supply solar energy at levelised tariff of ₹3.3 per Kwh. The project is expected to commence commercial operations by December 2018.
“Our aim is to build a sustainable presence in the renewable energy space,” said Zhooben Bhiwandiwala, president – Mahindra Partners.
‘Most bankable PPA’
“The Rewa solar project is a significant step in this direction as this is one of the largest solar parks having the most bankable PPA (power purchase agreement) terms and can become a model template for all upcoming solar projects,” he said.
“The Rewa solar project by Mahindra Renewables is another step towards augmenting India’s RE capacity, and our support to this project builds on our commitment to mobilise $5 billion for financing solar power projects in India by 2030,” said Rana Kapoor, MD & CEO, Yes Bank which has, till date underwritten five solar projects for the Mahindra Group with a total capacity of 382 MW. Currently, Mahindra Group has 257 MW of operational solar capacity and 250 MW Rewa solar project under implementation.