Adani Green Energy Limited (AGEL), India’s largest renewable energy firm, has received a significant boost with Maharashtra State Electricity Distribution Company Limited (MSEDCL) issuing a Letter of Intent (LoI) for a major power purchase agreement (PPA).
Under the new deal, AGEL will provide 5 GW (5000 MW) of solar energy from the world’s largest renewable energy park under development in Khavda, Gujarat.
In addition, Adani Power Limited (APL), the nation’s leading private thermal power producer, will enter into a power supply agreement (PSA) with MSEDCL. This agreement will see APL deliver 1496 MW (net) of thermal power to Maharashtra from a new 1600 MW ultra-supercritical thermal power project.
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Maharashtra has long been a leader in India’s solar energy sector, significantly enhancing the country’s renewable energy capacity. AGEL’s contribution will further bolster the state’s renewable footprint.
Notably, AGEL’s wind-solar hybrid cluster in Jaisalmer began supplying green energy to Mumbai in March 2023, with renewable sources expected to constitute 37% of Mumbai’s energy mix by June 2024.
The 6600 MW capacity, acquired through a competitive tender process, marks a global milestone. This includes the largest solar capacity award worldwide since 2020, strengthening AGEL’s position as a global leader in renewable energy. The solar projects will be developed over three years and connected to the inter-state transmission system at a fixed tariff of Rs 2.70 per kWh.
The thermal capacity award to APL represents one of India’s largest recent awards to the private sector. The thermal power will be delivered on a design, build, finance, own, and operate (DBFOO) basis, with a 25-year PSA.
Sagar Adani, Executive Director of AGEL, expressed enthusiasm about the collaboration, aiming to advance India’s clean energy transition and energy independence. Meanwhile, Anil Sardana, Managing Director of APL, emphasized the importance of conventional energy in balancing the grid as India pursues economic and sustainability goals.
