ReNew Power will be receiving about USD 1 billion as loan from a consortium of 12 international lenders headed by Netherlands-headquartered Rabobank. This information was given by ReNew Power in its press release dated 17th August 2022. As per ReNew Power, this is the largest External Commercial Borrowings (ECB) project finance loan for a single project in India’s Renewable Energy (RE) sector.
This loan is for ReNew Power’s Round-the-Clock (RTC) battery-enabled RE project, in which Japan’s Mitsui purchased a 49% stake in April 2022. ReNew Power has signed a 25-year Power Purchase Agreement (PPA) with Solar Energy Corporation of India (SECI) for this project. Power will be supplied at a rate of Rs. 2.90 per unit with a yearly increment of 3% for the first 15 years. Post this time period, the tariff will be unchanged for the remaining 10 years.