KPI Green secures Rs 3,200 crore sanction from SBI for Gujarat projects

KPI Green Energy Limited has received a sanction of Rs 3,200 crore from the State Bank of India to support its solar and hybrid power projects in Gujarat with a combined capacity of over 1 GWp.

The sanctioned amount includes both fund-based and non-fund-based facilities. It will part-finance the company’s 250 MW solar project and 370 MW hybrid project, which together add over 1 GWp to its independent power producer portfolio.

The solar project will have a capacity of 250 MW (AC) or 350 MWp (DC). The hybrid project will include 557 MWp of solar capacity and 124.20 MW of wind capacity. Both projects are tied to 25-year power purchase agreements with Gujarat Urja Vikas Nigam Limited and are located in the Bharuch and Surendranagar districts of Gujarat.

The projects will follow a 75:25 debt-equity funding structure. The proceeds will be used to finance project costs, reimburse incurred expenditure, and cover related development expenses.

According to KPI Green Energy, the projects will help the company progress toward the KP Group’s target of 10 GW capacity by 2030. The company noted that revenue recognition will begin through long-term PPAs, while the projects are also expected to offset more than 1.5 million tonnes of carbon dioxide annually.