JSW Energy announced on Monday that JSW Energy Kutehr Ltd., its wholly-owned step-down subsidiary, has signed a power purchase agreement (PPA) with Haryana Power Purchase Centre (HPPC) for the supply of 240 MW hydro power.
The deal is valid for 35 years (with further extension possible at mutually agreed terms) and was signed at a levelised ceiling tariff of ₹4.50 (US¢5.9) per kWh, the company said in a statement.
JSW Energy Kutehr is currently constructing a 240 MW (3x80 MW) hydro-electric plant in Kutehr, Himachal Pradesh's Chamba region.
“The project is ahead of schedule, with 65% tunnelling work completed by February 2022 and anticipated to be commissioned by September 2024,” the business stated.
The power will be purchased by the Haryana Power Purchase Centre on behalf of the Uttar Haryana Bijli Vitran Nigam (UHBVN) and Dakshin Haryana Bijli Vitran Nigam (DHBVN).
“The project is in full swing and will be completed in a record time in India,” remarked Prashant Jain, joint managing director and CEO of JSW Energy.
JSW Energy has set a goal of reducing its carbon footprint by half by 2030 and becoming carbon neutral by 2050 through switching to renewable energy. By 2030, the company wishes to reach a capacity of 20 GW, with renewable energy accounting for 85% of total capacity.
Around 2.5 GW of renewable energy projects are now under construction, of which, 2.2 GW of wind and solar projects linked to SECI and JSW Group are projected to be operational in the next 12 months, while the 240 MW Kutehr hydro project will be operational in 30 months.
With the completion of these projects, the company's overall generation capacity will rise to 7 GW, with renewable energy accounting for nearly half of it.