In a significant leap towards bolstering India’s renewable energy infrastructure, Reliance Power, through its wholly-owned subsidiary Reliance NU Suntech, has inked a 25-year Power Purchase Agreement (PPA) with the Solar Energy Corporation of India (SECI). This landmark agreement will pave the way for the development of Asia’s largest single-site integrated solar and battery energy storage system (BESS) project, marking a pivotal moment in the nation’s transition to clean energy.
The ambitious project, with a total capital investment estimated to reach ₹10,000 crore, will feature a 930 megawatt (MW) solar power capacity seamlessly integrated with a 465 MW/1,860 megawatt-hour (MWh) BESS. This powerful combination will ensure a reliable and consistent supply of solar power, even during non-sunshine hours, addressing critical peak demand and grid stability concerns. The electricity generated will be supplied at a competitive fixed tariff of ₹3.53 per kilowatt-hour.
Reliance NU Suntech emerged as the victor in SECI’s Tranche XVII auction held in December 2024, securing the entire allocation for this mega project. The competitive bidding process witnessed participation from five major energy players vying for a total of 2 GW of inter-state transmission system (ISTS)-connected solar projects and 1 GW/4 GWh of BESS capacity. Reliance Power’s successful bid underscores its strong project development capabilities and competitive pricing strategy.
To meet the contracted power delivery of 930 MW, Reliance NU Suntech will deploy over 1,700 MWp of solar generation capacity. The integration of such a large-scale battery storage system, capable of providing four hours of power backup daily, signifies a major advancement in India’s renewable energy landscape. It will provide much-needed flexibility to the grid and reduce the reliance on conventional power sources during peak demand periods.
The entire process, from the reverse auction to the signing of the PPA, was completed in an impressive timeframe of under five months. Reliance Power also submitted a performance bank guarantee of ₹378 crore to SECI, demonstrating its commitment and financial strength for the project.
This agreement represents one of the most substantial long-term power offtake arrangements in India’s clean energy sector to date. The project, slated for commissioning within the next 24 months, is a testament to Reliance Power’s long-term strategy to become a key player in India’s sustainable energy future. It will significantly expand the company’s clean energy portfolio, which currently operates at 5,305 MW, including the 3,960 MW Sasan Power plant.
“This landmark agreement represents a significant step in Reliance Power’s long-term strategy to lead India’s transition to sustainable, low-cost energy solutions,” the company stated, emphasizing the project’s crucial role in meeting the nation’s ambitious renewable energy targets and strengthening its energy storage infrastructure.
The development of Asia’s largest integrated solar and battery project by Reliance Power marks a monumental stride towards a greener and more sustainable energy future for India, setting a benchmark for future renewable energy projects in the region.