ReNew Signs PPAs for 2.2 GW, Including 1 GW Flexible Round-the-Clock Energy

ReNew, a leading renewable energy company, announced on Thursday that it has signed five Power Purchase Agreements (PPAs) totaling approximately 2.2 gigawatts (GW) of renewable energy capacity. This development significantly expands ReNew's fully contracted renewable energy portfolio, bringing its total portfolio to 15.6 GW. Additionally, the company has received Letters of Award (LoAs) for an additional 5.8 GW of renewable energy capacity.

Among the new agreements, ReNew signed three solar PPAs totaling 800 MW with major public sector entities, including NTPC, Damodar Valley Corporation (DVC), and the Solar Energy Corporation of India (SECI). The combined weighted average tariff for these solar agreements is ₹2.59 per kWh, according to ReNew, which is listed on the Nasdaq stock exchange.

One of the key deals among the new PPAs is a 1 GW Firm and Dispatchable Renewable Energy (FDRE) contract with SJVN at a tariff of ₹4.39 per kWh. These agreements with central government utilities bolster the company's counterparty profile, providing greater reliability and stability. Additionally, ReNew signed a 438 MW PPA with a large multinational corporate and industrial (C&I) customer.

The PPAs offer significant visibility and predictability for ReNew's future growth, with returns expected to exceed threshold levels. These agreements will drive the development of 1,500 megawatts (MW) of solar and 688 MW of wind projects, with completion anticipated over the next 24 months.

"These agreements, with a strong counterparty profile, will not only contribute to a cleaner future but also deliver long-term financial benefits for ReNew and its shareholders," stated ReNew Chairman and CEO Sumant Sinha.

Founded in 2011, ReNew has played a pivotal role in advancing India's green energy landscape over the past decade. With an operational capacity of approximately 9.5 GW, the company generates about 21 billion units of clean electricity annually, sufficient to power around 6 million households and avoid approximately 17 million tonnes of CO2 emissions each year. ReNew's latest expansion is expected to further solidify its leadership in India's renewable energy sector.

HBL