Azure Power Secures $58 Million for its 100 MW Solar Project at Pavagada

The project located in Pavagada Solar Park, one of the largest solar parks across the globe


Leading renewable energy project developer Azure Power (NYSE: AZRE), has achieved the financial closure of a deal worth ₹4 billion (~$58 million) for its 100 MW solar power project in Karnataka. According to the solar power producer, the financial deal has been closed ahead of its time.

The solar project which was won in an auction conducted by Karnataka Renewable Energy Development Ltd, will be set up at Pavagada Solar Park, one of the largest solar parks in the world. The park is being developed by Karnataka Solar Power Development Corporation Limited (KSPDCL).

According to Mercom India Research, Azure Power had won these 100 MW projects when they were auctioned in March 2018, quoting a tariff of ₹2.93 (~$0.0394)/kWh.

Inderpreet Wadhwa, the company’s founder and chairman said, “We are pleased to announce the closing of our financing for our 100 MW plant in Karnataka. This financing is a testament to our strong financing, project development, engineering and execution capabilities. We are delighted to make this contribution towards realization of our PM’s commitment towards clean and green energy, through solar power generation.”

According to Mercom India Solar Project Tracker, Azure Power has around 1 GW of large-scale solar projects in-operations and ~1.9 GW under development pipeline.

Mercom had reported earlier when the company announced raising $135 million in debt financing from a consortium of development finance institutions, to finance approximately 200 MW of Azure Power’s rooftop solar photovoltaic (PV) projects across India. It should be noted that Azure’s total revenue was ₹2,422.5 million (~$35.4 million) in the first quarter of FY19, which was up 29 percent from ₹1,877.9 million (~$27.36 million) during the same period in 2017. As per the company, the increase in revenue was primarily driven by the commissioning of new projects.

Recently, Azure Power closed financing deal of ₹6 billion (~$88 million) for its 200 MW solar power project in Bhadla, Rajasthan. It has also offered 14,800,000 equity shares on the New York Stock Exchange (NYSE) at $12.50 (~₹926.07) per equity share.

Garima is a staff reporter with covering renewable energy news. Prior to Mercom, Garima worked as a journalist with The Times of India and The New Indian Express. She received her Master’s degree in Environmental Science from the University of Nottingham and PG Diploma degree in journalism from the Times School of Journalism.