Adani Power, Adani Green Energy shares gains on plan to ink pacts with MSEDCL

Adani Power and Adani Green Energy will sign a long term power purchase agreement (PPA) and supply power agreement (SPA) with Maharashtra State Electricity Distribution Company (MSEDCL) for supply of 6600 MW hybrid solar and thermal power.

Adani Power (APL) jumped 3.76% to Rs 657.35 and Adani Green Energy (AGEL) rallied 3.27% to Rs 1,846.25 on the BSE.

Adani power will supply 1,496 MW (net) thermal power to Maharashtra from a new 1,600 MW Ultra-supercritical thermal power project and Adani Green Energy will also supply 5 GW (5000 MW) solar power from its renewable energy park being developed at Khavda in Kutch District of Gujarat, to Maharashtra state.

The 6600 MW capacity has been secured through a competitive bidding process initiated by MSEDCL for procurement of combined 1600 MW thermal and 5000 MW solar power.

The terms of the tender permit APL to bid for thermal power capacity along with solar power capacity, which can be supplied by a group company. APL accordingly also bid for 5000 MW solar capacity on behalf of AGEL, thereby leveraging the two entities respective competitive advantages and strengths in the thermal and solar power sectors.

Under the terms of the Award, APL will enter into a 25-year Power Supply Agreement (PSA) with MSEDCL for supply of 1496 MW of electricity (net of auxiliary consumption) on long term basis from a new thermal power plant having installed capacity of 1600 MW (2x800 MW) to be set up utilizing UltraSupercritical technology. Power supply under the proposed PSA will commence three and a half years after the Appointed Date as defined thereunder in case of Unit 1 (800 MW) and four years in case of Unit 2 (800 MW).

Sagar Adani, executive director, Adani Green Energy, said, We are glad to collaborate with MSEDCL to meet the states rising energy demand through renewable sources and fulfill its RE commitments. Our goal is to accelerate Indias clean energy transition. This is a crucial step towards the countrys energy independence and building a sustainable future. Adani Green is well positioned to achieve the 50 GW target with secured resource rich sites in strategic locations, portfolio mix of renewables and storage solutions, robust supply chain and clear evacuation plans.

Anil Sardana, managing director, Adani Power, said As India advances in achieving its economic growth targets while maintaining a keen focus on sustainability, the role of conventional power in helping stabilize the grid and supplying base load power assumes greater importance. Adani Power is proud to partner a leading industrialised state like Maharashtra by becoming one of its key suppliers of reliable and competitive power from its existing and upcoming capacities, while enabling it to integrate an ever-increasing quantum of renewable energy in its grid.

Adani Power, a part of the diversified Adani Group, is the largest private thermal power producer in India.

Adani Green Energy (AGEL), a part of India-based Adani Group, has one of the largest global renewable portfolios with overall portfolio of 20.4 gigawatt (GW) including operating, under-construction and awarded projects catering to investment-grade counterparties. The company develops, builds, owns, operates and maintains utility-scale grid-connected solar and wind farm projects.

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