KPI Green Energy said it has secured a sanction of INR 3,200 crore finance facility from State Bank of India for its solar and hybrid independent power producer projects, aggregating over 1 GWp in Gujarat.
The sanctioned facilities will support two strategically significant renewable projects – a 250 MW (AC)/ 350 MWp (DC) solar power project and a 370 MW hybrid power project, comprising 557 MWp solar portion and 124.20 MW wind portion, according to a company statement.
The company secured Rs 3,200-crore sanction from State Bank of India (PF&SBU), comprising both fund-based and non-fund-based facilities, to part-finance the development of its 250 MW solar project and 370 MW hybrid project in Gujarat, together aggregating over 1 GWp of the company’s Independent Power Producer (IPP) portfolio, the statement said.
Both projects are secured by 25-year long-term power purchase agreements (PPAS) with Gujarat Urja Vikas Nigam Ltd (GUVNL) and are being developed in Bharuch and Surendranagar districts of Gujarat. The projects will be funded with a 75:25 debt-equity ratio, with proceeds earmarked for project cost financing, reimbursement of incurred expenditure, and related development expenses.
“This landmark sanction from the State Bank of India is a strong validation of KPI Green Energy’s capabilities and long-term vision,” Faruk Patel, Chairman & Managing Director of KPI Green Energy Limited, said.
“With over 1 GWp of new capacity being developed, we will significantly expand our operational portfolio, strengthen annuity income streams, and create long-term value for all stakeholders,” Patel added. Upon commissioning, these projects will make a substantial contribution to KP Group’s 10 GW target by 2030.
Revenue recognition will begin through long-term PPAS, strengthening recurring revenue streams and profitability. The projects will eliminate over 1.5 million tonnes of carbon dioxide emissions annually- an environmental benefit equivalent to planting more than 65 million trees every year – reinforcing our commitment to a greener and more sustainable future. Established by Faruk G Patel in 1994, KP Group has grown into a multi-faceted conglomerate with core expertise in renewable energy, infrastructure, and innovation.
