BackAdani Green to buy 50 MW Telangana solar project from SkyPower
US-based real estate and infrastructure investment firm CIM Group owns SkyPower, that was awarded 350MW of solar projects in Telangana and Madhya Pradesh
-khYD--621x414@LiveMint_1616219489756.jpg "Toronto-based SkyPower has signed over 30 utility-scale solar power purchase agreements (PPA) and has a 25 gigawatts (GW) pipeline. Photo: Bloomberg")
PremiumNew Delhi: Gautam Adani-led Adani Green Energy Ltd (AGEL) will buy 50 megawatt (MW) solar project in Telangana from Toronto-headquartered SkyPower Global, the Ahmedabad-based firm announced on Saturday.
“The project is located in Telangana and was commissioned in Oct 2017 and has a long-term Power Purchase Agreement (PPA) with the Southern Power Distribution Company of Telangana," AGEL said in a statement.
With businesses spanning across energy, ports, airports, logistics, mining, resources, gas, defence and aerospace, Adani Group has been ramping up its green energy portfolio.
“With this acquisition, AGEL will have operating renewable capacity of 3,395 MW with a total renewable portfolio of 14,865 MW," the statement added.
Canadian solar energy developer SkyPower has been trying to sell its assets here as reported by Mint earlier. US-based real estate and infrastructure investment firm CIM Group owns SkyPower, that was awarded 350MW of solar projects in Telangana and Madhya Pradesh. SkyPower has signed over 30 utility-scale solar power purchase agreements (PPA) and has a 25 gigawatts (GW) pipeline.
Adani Green Energy Ltd (AGEL) has formed an equal joint venture with French energy giant Total and plans to commission 25 GW by 2025. Total has invested $2.5 billion for acquiring a 50% stake in 2.35 GW operating solar assets of AGEL and a 20% stake in AGEL. With 3.24GW operational capacity and 14.81 GW total portfolio, the JV has one of the largest green energy asset base in India and plans to commission 25 GW by 2025.
This comes in the backdrop of Adani Renewable Energy placing the lowest bid of ₹2.77 per unit at a recent auction conducted by state-run Solar Energy Corporation of India Ltd (SECI) for setting up and supplying 1.2-gigawatt (GW) wind power capacity as reported by Mint earlier.
The second lowest bid of ₹2.78 per unit was placed by CDC Group Plc-backed Ayana Renewable Power, Evergreen Power and JSW Future Energy Ltd. While Adani Renewable and Ayana will get the contract to develop and supply 300 megawatt (MW) each, Evergreen and JSW Future will be awarded the contract for 150 MW and 450 MW capacity respectively.
India has set a target of achieving a 450GW renewable energy capacity by 2030. It currently has an installed renewable energy capacity of 89.63GW, with around 49.59GW capacity under execution and another 27.41GW been tendered. Around ₹4.7 trillion has already been invested in India’s renewable energy space in the last six years, with an expected ₹1 trillion investment opportunity each year till 2030.
However, India has been witnessing certain regulatory uncertainties in green energy contracts in Telangana, Gujarat, Andhra Pradesh and Punjab. Low tariffs have also resulted in tariff shopping by discoms. Also, already awarded clean energy capacity is stranded as fund-starved discoms are unwilling to sign contracts for these previously awarded projects at a comparatively higher tariff.
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