Solar module manufacturer ADM Solar Power Infrastructure has signed a long-term power purchase agreement (PPA) with Avener Green to procure 10 MW of solar power in captive mode.

The procured solar power will be used to meet the power demand of ADM Solar Power’s module manufacturing facilities in Uttar Pradesh.

ADM Solar Power has an 850 MW solar module manufacturing facility in Faridabad and is planning to set up a 1,200 MW integrated solar module and cell manufacturing facility in Aligarh, Uttar Pradesh. It may expand the module manufacturing capacity by another 1,200 MW in the next phase.

The project is expected to be commissioned by April 2026 and is expected to generate 22.42 million units in the first year.

The payback period is expected to be between six and seven years.

According to Mercom India’s Q3 2025 Solar Open Access Market Report, the country added 6.1 GW of solar open access capacity in the first nine months of 2025, increasing over 13% year-over-year from 5.4 GW. The installation growth during this period was driven by increasing demand from commercial and industrial consumers.

Driven by the rapid expansion of data centers in Uttar Pradesh, the demand for solar open access in the state is expected to double over the next three years.

To boost the growth of open access projects, the Uttar Pradesh Electricity Regulatory Commission notified the Captive and Renewable Energy Generating Plants Regulations, 2024, allowing total banked energy for a month up to the higher of 25% of the energy injected during the month or 30% of the total monthly electricity consumed from the DISCOM.

The Ministry of Power also proposed a few amendments to simplify the regulatory framework for captive power projects. Captive users must collectively consume at least 51% of total generation to qualify as a captive project. The changes aim to promote generation closer to consumption and improve energy security.