ACEN, partner to build a 420 MWp solar farm in India
AC ENERGY Corp. (ACEN) and its joint venture partner have started building their largest solar farm in India with a capacity of 420 peak megawatts (MWp) at an estimated cost of $220 million, the Ayala-led company announced on Sunday.
In a press release, the listed energy platform said the Masaya Solar project in Khandwa district, Madhya Pradesh state, is through UPC-AC Energy Solar Ltd., its partnership with UPC Solar Asia Pacific Pte. ltd. It will have an output power of 300 MW in alternating current.
“Although the pandemic continues to present challenges, we are confident that we will complete the construction of this solar development safely and as soon as possible, to contribute even more significantly to India’s renewable energy goals,” said Patrice R. Clausse, Head of International Group at ACEN.
ACEN said UPC-AC Energy Solar is in the process of securing a 20-year loan from the State Bank of India to finance the project under a 75:25 debt financing program. The joint venture is expected to supply power at 2.71 Indian rupees per kilowatt-hour (kWh) fixed over a 25-year period under a power supply agreement with the Solar Energy Corporation of India, it said. he adds.
The Masaya Solar Farm, the joint venture’s third solar project, is expected to generate 691 gigawatt hours (GWh) of clean energy and avoid approximately 635,720 metric tons of carbon dioxide emissions each year. The joint venture’s latest project is expected to generate 500 jobs during the construction phase.
In 2021, UPC-AC Energy Solar commissioned its first two solar farms in India: 140 MWp Sitara Solar and 70 MWp Paryapt Solar.
In the press release, he quoted Pranab Kumar Sarmah, Managing Director of UPC-AC Energy Solar and co-founder of UPC Solar Asia-Pacific, as saying, “Working hand in hand with an extremely knowledgeable and enthusiastic team in India and beyond, I am confident that this project will stand the test of time and budget in this challenging COVID scenario. India is one of the largest energy consumers and producers of renewable energy in the world. We understand the urgency for the country to increase its renewable energy production to meet demand and support the country’s progress.
“This landmark development will be a significant addition to the country’s renewable energy capacity,” the company official added.
ACEN aims to become the largest listed energy platform in Southeast Asia as it plans to build 5,000 MW of renewable energy capacity by 2025.
Across Asia-Pacific, it has over 3,000 MW of attributable capacity and an 18,000 MW pipeline of renewable energy projects under development in the region with various partners. ACEN expects around 500MW of these projects to reach financial close by the first quarter of 2022.
On Friday, the company’s shares slid one centavo or 0.11% to close at P9.49 apiece. — MC Lucenio