Adani Green Energy, a company led by Indian billionaire Gautam Adani, has successfully found buyers for its eight gigawatts of green power projects.
This is a milestone in its plan to expand generation capacity more than five-fold by the end of the decade.
The firm disclosed in a statement on Monday that it sealed the deal by finalising agreements in a 25-year contract with Solar Energy Corp. of India (Seci) for the remaining 1.8 gigawatts.
Adani Green currently operates a renewables portfolio of 8.4 gigawatts and plans to invest $22 billion to expand its capacity to an impressive 45 gigawatts by 2030. With this latest deal, the company now boasts offtake agreements for 19.8 gigawatts across various projects.
Earlier this month, the company Green secured a substantial $1.36 billion loan from an international bank consortium to facilitate the expansion of its renewable power capacity.
Seci, a state-run entity, conducted the auction and serves as the intermediary between the project developer and electricity buyers.
Seci awarded Adani’s green energy arm the project in June 2020 through an auction that combined solar power generation and equipment manufacturing.
Notably, rival Azure Power Global had won bids for building 4 gigawatts of solar power plants.
This significant agreement marks a shift among state power retailers towards signing long-term offtake contracts, especially after post-pandemic economic recovery.
In contrast, utilities had previously avoided long-term contracts during sluggish demand, opting to wait for project auction prices to drop.