The financing provided by the Manila, Philippines based bank will assist seven special purpose vehicles owned by the Indian renewable energy firm, the first of which was also signed.
ReNew Power plans to develop photovoltaic solar power projects of a combined capacity of 398MW using the ADB financing. The solar projects will be established in Telangana and Jharkhand states.
ADB Private Sector Operations Department director general Michael Barrow said: “We strongly believe in ReNew Power’s potential and execution capabilities.
“The company has shown tremendous growth over the last few years and we are pleased to provide a further boost to help it bridge the gap between India’s current and growing energy needs and to reduce the country’s carbon footprint.”
It will also set up wind power projects of a combined capacity of 311MW in the states of Karnataka, Andhra Pradesh, Madhya Pradesh and Gujarat.
The new renewable projects are likely to produce 1,400GW of clean electricity and thereby annually cutting down around 1.2 million tons of carbon dioxide emissions.
The renewable energy plants are slated to be commissioned by December.
Renew Power revealed that the electricity generated from the new plants will be distributed under long term power purchase agreements to their respective state power utility companies.
Image: ADB granted a financing packaging to boost India’s renewable energy production. Photo: courtesy of ADB.
