The Solar Energy Corporation of India (SECI) is seeking proposals from banks or financial institutions to provide a 10 billion loan for a solar power project in Andhra Pradesh. The project will be located in the Ramagiri village and the loan should have a competitive interest rate and a 20-year tenure, including a two-year moratorium period.
The bank must provide a minimum loan amount of Rs 2.5 billion, with additional amounts in multiples of Rs 2.5 billion. The loan must be distributed within two years from the date of finalizing the loan agreement. The deadline for submitting bids is January 21, 2023.
The project will provide electricity to the Madhya Pradesh Power Management Company at a rate of Rs 2.57 per kWh. The SECI has assigned 907.87 acres of land for the project, of which it currently owns 899.43 acres.
The connection to the 300 MW solar project at the Pavagada substation has received initial approval at the 220-kV level.
SECI was awarded a contract by the Indian Renewable Energy Development Agency to build 1,200 MW solar projects as a part of the Central Public Sector Undertaking Program Phase-II. They received a funding of Rs 4.47 million per MW. Out of the total capacity, they planned to develop 300 MW in Ramagiri, Andhra Pradesh.
In April 2023, SECI started the tender process for the project which includes designing, engineering, testing, and commissioning. The project is expected to cost around Rs 14.19 billion.
In January 2024, SECI issued a tender for the development of 1,500 MW of solar projects connected to an inter-state transmission system.
Reference- SECI website, Mercom India, Economic Times, Business Standard