Energetica India Magazine -October 2020

NEWS INVESTMENT Sterlite Power Secures Rs 2,070 Cr Debt Funding from PFC for Vapi Transmission Project Sterlite Power has secured the entire debt funding of Rs 2,070 crore for its Vapi II North Lakhimpur Transmission Ltd (VNLTL) project from Power Fi- nance Corporation Ltd (PFC Ltd), one of the country’s major power sector lenders. Further, the financial closure has been achieved by the company within 4 months of the special purpose vehicle (SPV) acquisition of the project. Earlier in June 2020, the company ac- quired this VNLTL SPV to execute one of the largest inter-state transmission system (ISTS) projects covering West- ern Region Strengthening Scheme-XIX (WRSS-XIX) and North Eastern Region Strengthening Scheme-IX (NERSS-IX). Significantly, this single project, with its various sub-elements, will supply clean and green energy from solar, nuclear and hydro power to the western and north eastern region of India. This project aimed to set up 179 ckm of lines for critical system strength- ening to decongest the Navi Mumbai transmission corridor by bringing in an inter-state transmission feed of about 1,000 MW. This link will cater to the growing energy requirements in the re- gion owing to the upcoming Navi Mum- bai Airport and Special Economic Zone (SEZ). Commenting on the financial milestone, Pratik Agarwal, Managing Director, Sterlite Power said, “we are pleased to conclude this mega financial deal with one of India’s largest and most reputed financial institution in the power sector – PFC, amidst a tough market situation. This deal is a huge show of trust by PFC in our capability to deliver some of the most challenging and impactful transmission projects in the country.” “Earlier this month, we also inducted REC Ltd as the Lead Lender for LVT- PL, our Green Energy Corridor project. We are an active proponent of green- ing the grid, and we see about 80 per cent of our new projects to be linked to transportation of renewable energy,” he added. Adani-Total Expand JV with Solar Assets Acquisition worth Rs 1,632 Cr Adani Group’s renewable arm Adani Green Energy Ltd (AGEL) and French energy giant Total SA (Total)-led joint venture (JV) company has completed another acquisition under JV agree- ment, through transferring 205 MW of operating solar assets for an enterprise valuation of Rs 1,632 crore. In April this year, the two companies had formed a 50:50 JV for 2,148 MW solar power assets in India, which was setup at an enterprise valuation of Rs 17,385 crore. With this new acquisition, an aggregate operating renewable portfolio under the JV stood at 2,353 MW of capacity. Total, through its step-down subsidiary, invested Rs 310 crore in the JV for 50 per cent stake in the new acquisition, while AGEL had earlier announced the acquisition of these assets from Essel Group on October 01, 2020, located in the states of Punjab, Karnataka and Ut- tar Pradesh. Commenting on the development, Gau- tam Adani, Chairman of Adani Group, said “India continues to be one of the most attractive markets for clean en- ergy globally. We are delighted to ex- pand our partnership with Total and are committed to grow our renewables JV platform with them. This step is in line with our ambition of achieving 25 GW of renewable power capacity by 2025 and becoming the world’s largest renewable power company by 2030.” Moreover, all the assets already have long term Power Purchase Agreements (PPAs) with various state electricity dis- tribution companies and the portfolio is relatively young with average remaining PPA life of approximately 21 years. Also, the assets expand the JV’s footprint in states where it already has a presence through its existing portfolio. 13 energetica INDIA- October_2020