An unnamed financial institution has invested INR48.75 crore in a 7MW solar project being developed by Welspun Solar Kannada in Karnataka, India.
Welspun Solar Kannada, a Welspun Energy subsidiary, subsequently announced financial closure for the solar park – which is being developed under Karnataka State policy in the Chitradurga district of Karnataka.
The project’s full cost of INR65 crore has now been reached in a debt-equity ratio of 75:25, after successfully obtaining the additional INR48.75 commitment.
The 7MW capacity project is expected to generate 12.264 million kWh a year, powering 33,600 homes and combating Karnataka’s annual deficit of 27.4%. Tracking technology will be implemented for 1MW of the project.
With groundwork already under way and a power purchase agreement signed with Mangalore Electric Supply Company (MESCOM), commercial operations are planned to start in March 2014.
Vineet Mittal, Co-Founder & Managing Director Welspun Energy said: “It is our aim to achieve grid parity within the next few years and establish the value of renewable energy to India’s energy security”.
WEL also recently announced financial closure of their 20 MW Mumbai solar project.