SAEL 300MW Renewable Energy Project
India
Proposed
Clean Energy and Energy Efficiency
Quick Facts
More About This Project
The Republic of India (“India”) has been one of the fastest growing economies in the world over the last decade. India is estimated to have an annual Gross Domestic Product (“GDP”) growth rate of over 6% over the next five years. A reliable energy supply is an essential component in achieving this growth rate.
India’s energy consumption ranks third globally. As of November 2023, India had an installed capacity of 426,132 MW, with peak demand of 243,271 MW. Fossil fuel power plants account for 57% of the installed capacity and renewable energy (solar and wind) account for 39% (166,191 MW) of the installed capacity. The rest is made up of nuclear and biogas/waste to energy. Solar energy capacity in India has reached 73,109 MW as of the end 2023 in comparison to 12,289 MW in 2017.
The Government of India (“GoI”) aims to reach net zero emissions by 2070 and to meet 50% of its electricity requirements from renewable energy by 2030. The GoI has also announced a target of 500 gigawatts of renewable energy by 2030, thereby reducing the emissions intensity of the country’s economy by 45%.
The Project contributes to achieving Sustainable Development Goals (“SDGs”); (i) SDG #7: Affordable and Clean Energy (Target 7.2): Increase substantially the share of renewable energy in the global energy mix”; and (ii) SDG #13: Climate Action (Target 13.2.2): Total greenhouse gas emissions per year.
The Project involves the development of a 300 MW solar photovoltaic plant, a 70 kV sub-station and a 13 km 220 kV transmission line connecting the Project to the grid in Andra Pradesh, India. All power produced will be sold to the state-owned Solar Energy Corporation of India limited (“SECI”) on the back of a 25-year power purchase agreement (“PPA”) at a fixed tariff of INR 2.60/Kwh. The PPA was awarded through an open tender process. SECI will on sell the power to Gujarat Urja Vikas Nigam Limited, the holding company for all state utilities in the state of Gujarat, in India.