INDIA: India’s leading power generator Welspun Energy Ltd (WEL) has achieved financial closure for their 130 MW solar project, India’s largest to date, located in Mandsaur district of Madhya Pradesh.
Through a consortium of leading financial institutions, WEL has secured long term project funding of Rs.885 crores. On-ground work for the project is already in progress and it is slated to be commissioned by May 2014.
Central Bank of India has been appointed the Lead Lender and Facility Agent for the consortium WEL, through its subsidiary Welspun Solar Madhya Pradesh Pvt Ltd (WSMPPL) won the project in May 2012 against 12 qualified bidders by quoting the second lowest tariff of Rs. 8.05 per unit.
For the financial closure a Consortium of Banks are participating in the financing of this project in response to the company’s proven track record and implementation ability. WEL’s projects’ performance has been better than compared to any other IPP (Independent Power Producer). For instance, the Gujarat 5 MW project recently recorded a DC PLF of 27.05 percent - the highest achieved by any power project developer in India.
This project will meet the state’s annual power deficit of 17.9 percent, and enable powering of 6,60,000 homes and mitigating 2,29,550 tones of carbon annually. The completion of this project will make Welspun Energy the largest solar power developer in India.