Adani Green Energy signs 5GW PPA for Khavda solar project

The PPA was issued at a fixed rate of INR 2.70/kWh ($0.03). Adani Green Energy – a subsidiary of Adani Group, India’s largest conglomerate – said it was the largest solar PPA signed in India as of 2020.

Meanwhile, Adani Power, the thermal power subsidiary of Adani Group, signed a PPA with MSEDCL to supply 1.6 GW of thermal power to Maharashtra.

Sagar Adani, executive director of Adani Green Energy, said the deal was a “key step towards the country’s energy independence and building a sustainable future.”

Khavda solar

Adani is the main company behind the development of the Khavda solar project, which it claims will be the “largest” project in the world when completed.

Earlier this year, the company commissioned part of a 1GW facility as part of its plan to achieve 30GW of generating capacity at Khavda over the next five years.

In late 2023, Adani entered into a $1.36 billion debt financing agreement to support the development and construction of a 2.1 GW solar project at the site, which at the time increased the company’s construction financing framework to $3 billion.

In addition, earlier this month, Adani announced a joint venture (JV) with French energy giant and utility TotalEnergies to build another 1.1 GW PV portfolio at the site. Adani, for its part, will contribute its assets to the JV, while TotalEnergies will make an equity investment of $444 million.

A number of Indian utilities have also been involved in Khavda. Adani’s JV with TotalEnergies has secured offtake agreements with state-owned Solar Energy Corporation of India (SECI), and Gujarat’s state utility, Gujarat Urja Vikas Nigam (GUVNL), has issued requests for proposals to expand capacity at Khavda.

More broadly, India’s solar market is recovering after a difficult few years. The first half of 2024 saw a 282% increase in solar deployments compared to 2023, according to research firm Mercom India.

Apart from its solar energy development business, a spokesperson for Adani’s solar subsidiary, Adani Solar, spoke to Photovoltaic technology at the RE+ renewable energy trade show in Anaheim, California, last week. The company said it plans to “pause” its plans to expand 10 GW of polysilicon production capacity due to the global polysilicon price crisis and the highly competitive market situation.

It still aims to produce wafers, ingots, solar cells and modules with a total capacity of 10 GW in India.