New Delhi, Apr 10: Sembcorp today said its renewable energy business in India has bagged 250 MW wind power project in Tamil Nadu. Sembcorp Green Infra received a letter of award for the project following the country’s first national wind power tender conducted by Solar Energy Corp of India.
The project will be located in Tamil Nadu and connected to Central Transmission Utility. The project’s entire output will be sold to Power Trading Corp (PTC) under a 25-year long-term power purchase agreement.
“We will be locating the project in Tamil Nadu, a high-wind state, and plan to work closely with suppliers and contractors to deliver the project successfully,” Sembcorp Green Infra MD and CEO Sunil Gupta said.
The project is expected to be developed in phases and fully commissioned in the second half 2018-19. The total project cost is estimated to be around Rs 2,694 crore (approximately USD 405 million). This is expected to be funded through a mixture of internal funds and debt. This project strengthens Sembcorp’s presence in India’s power market, as well as its growing international renewable energy portfolio.
The Sembcorp Group has over 3,800 MW of power capacity in operation and under-development stage in India, comprising both thermal and renewable energy assets. Globally, Sembcorp is actively growing its renewable energy business as part of a balanced portfolio of high-efficiency thermal, renewable as well as energy-from-waste projects.
It has over 2,000 MW of renewable energy and energy-from-waste capacity, including wind, solar and biomass power assets, in Singapore, China, India and the UK. The award of this project is not expected to have a material impact on the earnings per share and net asset value per share of Sembcorp Industries for the financial year ending December 31, 2017, it said.
Sembcorp Green Infra Ltd is a renewable energy player in India, with more than 1,200 MW of wind and solar power assets in operation and under-development stage, located in six states in the renewable resource-rich southern, western and central regions of India.
Sembcorp owns 70.38 per cent of Sembcorp Green Infra, while the remaining is held by IDFC Private Equity Fund III, which is managed by IDFC Alternatives.
This is published unedited from the PTI feed.