State-owned NTPC NSE -0.82 % on Thursday announced its arm NTPC Renewable Energy has enlisted into a power purchase agreement with Gujarat Urja Vikas Nigam Ltd (GUVNL) to trade electricity from its 150 MW solar project. The project would sell power at a tariff of Rs 2.20 per kWh, the company confirmed in a statement.
“NTPC Renewable Energy Ltd, a wholly-owned
subsidiary of NTPC Ltd, has signed a power purchase agreement (PPA) with Gujarat Urja Vikas Nigam Lt (GUVNL) to sell power from its 150 MW solar project,” the statement added.
With this successful proposal, the company's total capacity under TBCB (tariff-based competitive bidding) tenders has reached 1.4 GW. The company has also been assigned land in Rann of Kutch by the Gujarat government for developing a solar park with a capacity of 4,750 MW.
The seven-month-old 100 per cent subsidiary, floated with the purpose of developing renewable energy projects is presently building 6 GW solar capacity in the country.
The robust backing of the parent NTPC Ltd is also reflected in the highest native credit rating allotted to the subsidiary by baccarat live casino Ratings (a Fitch group company).
The firm is also in the procedure of receiving Rs 2,100 crore of long-term loans from banks for its under-construction projects.