The Adani Green Energy Limited (AGEL), the renewable energy arm of the diversified Adani Group, has agreed to supply 4,667 MW of green power to the Solar Energy Corporation of India (SECI). According to the company, it is the world’s largest green power purchase agreement. The PPAs had been postponed due to delays in bringing discoms on board, a process in which SECI eventually broke through this year, starting with GRIDCO and then adding multiple purchasers, including TANGEDCO and maybe the AP state.
As per the reports, when AGEL was awarded the 8 GW contract for the manufacturing-linked tender, it set a new record for the world’s largest solar development tender. AGEL has already signed PPAs with SECI for over 6,000 MW of the 8,000 MW granted in 2020. In the next two to three months, AGEL intends to close the remaining 2000 MW PPA. Azure Power, in addition to AGEL, is the other solar developer waiting to complete its 4 GW contract. Both companies have had to reduce their tariff bid prices, however both have stated that the impact will be minimal due to the lower financing expenses they expect presently. The previous PPA for the same projects was signed for Rs 2.54 per unit, whilst the Andhra Pradesh agreements are reportedly for Rs 2.42 per unit.
In April 2021, AGEL received a letter of award from Torrent Power to set up a 150 MWAC grid-connected solar power project in Gujarat, India. The solar project was won by the company at a tariff of Rs 2.22 per kWh. A power purchase agreement has also been signed for a period of 25 years with the power utility. The project was awarded to the Adani Renewable Energy Holding Fifteen Limited. In February 2021, AGEL and Torrent Power Generation won capacities in Torrent Power Limited’s auction to develop 300 MW of grid-connected solar projects in Gujarat. The two companies quoted a winning tariff of Rs 2.22 per kWh and were awarded capacities of 150 MW each.