Azure Power, one of India’s leading independent solar power producers, announced it has won a 600 megawatt (MW) solar power project through an auction conducted by Solar Energy Corporation of India (SECI), a Government of India enterprise and a company with an AA+ domestic debt rating by ICRA, a Moody’s Company. The project is the largest solar auction in India and also the first Interstate Transmission System (ISTS) grid connected solar PV project auctioned by SECI. Azure Power expects to sign a 25-year power purchase agreement with SECI to supply power at a tariff of INR 2.53 (~US 3.9cents) per kWh, approximately 4% higher than the lowest bid in the same auction. The project can be developed outside a solar park anywhere in India and is expected to be commissioned by 2020.
The 600 MWs win, out of the total 2,000 MWs tendered in the auction, is the largest allocation of any solar auction in India. Azure Power’s total portfolio is spread across 23 states with approximate 80% of its operating or committed projects with counterparties that have domestic debt ratings that are A or higher.
Speaking on this occasion, Inderpreet Wadhwa, Founder, Chairman and Chief Executive Officer, Azure Power said, “We are pleased to announce our largest capacity win and with this, we continue to demonstrate our strong project development, engineering, and execution capabilities Our long history of superior solar power operations right from the inception of the National Solar Mission has contributed to our success of procuring one of the largest solar power contracts with SECI. We are delighted to make this contribution towards the realization of our Hon’ble Prime Minister’s commitment towards clean and green energy, through solar power generation.”