STATE-OWNED Solar Energy Corporation of India (SECI) has awarded a 150 megawatt (MW) wind-solar hybrid power project to Sembcorp Green Infra – Sembcorp Industries’ wholly owned renewables subsidiary. The build-own-operate project, which will be connected to India’s interstate transmission system for electricity, is part of a 600 MW bid issued by the SECI.
On Thursday (Oct 17), Sembcorp said that the power generated from this project will be sold to SECI under a long-term power purchase agreement (PPA) lasting 25 years. This is, however, subject to the execution of the PPA and upon completion of the project.
Sembcorp expects the project to be commercially ready for operation within 24 months of signing the PPA. It will fund the project through a mix of internal funds and debt.
This new contract brings the group’s gross renewables portfolio in India to 4.9 gigawatts (GW) and gross renewables capacity globally to 14.6 GW, including a 49 MW acquisition pending completion.
Earlier this year, Sembcorp Green Infra was awarded a 440 MW wind-solar hybrid power project by another Indian state-owned power producer SJVN.
Sembcorp said that the award of the SECI project is in the ordinary course of business and is not expected to have a material impact on the earnings per share and net tangible assets per share of Sembcorp for the financial year ending Dec 31, 2024.
Shares of Sembcorp closed S$0.03 or 0.6 per cent higher at S$5.50, before the announcement.
