ReNew Power signs PPA for 400 MW power supply

ReNew Power is set to invest $1.2 billion to supply 400 megawatts (MW) of power and has signed a long-awaited power purchase agreement (PPA) with the state-run Solar Energy Corporation of India (SECI). This electricity will be provided to the New Delhi Municipal Corporation (NDMC), Dadra and Nagar Haveli, Daman and Diu, and will require 900 MW of wind energy and 400 MW of solar energy, as well as a battery storage system. This wind and solar capacity will be located in the states of Karnataka, Maharashtra, and Rajasthan. This comes as ReNew Power prepares to merge with RMG Acquisition Corp, a Nasdaq-listed special purpose acquisition company (SPAC). RMG II is a company with an estimated market value of $8 billion. In a related development, RMG II shareholders will vote on the proposed merger on August 16. ReNew Energy Global Plc, with an equity value of $4.4 billion, will be listed on the Nasdaq under the ticker symbol RNW. Private investment in public equity (PIPE) deal worth $855 million is included in the $1.2 billion equity proceeds from the ReNew Power merger with RMG II. BNP Paribas Energy Transition Fund, TT International Asset Management Ltd, TT Environmental Solutions Fund, Chamath Palihapitiya, Sylebra Capital and Zimmer Partners are among the PIPE investors. As of December 31, last year, ReNew Power-operated 6.24 gigawatts (GW) of solar and wind power, with a total capacity of about 10 GW. It bought 1.1 GW of wind and solar power assets from Ostro Energy in 2018, making it one of the largest renewable energy acquisitions in India. ReNew Power was one of the first companies to enter India's green economy. Goldman Sachs, Japan's JERA Co. and Canada Pension Plan Investment Board are among ReNew Power's current shareholders. Inc., the Abu Dhabi Investment Authority, the GEF SACEF India, and Sumant Sinha, chairman and managing director. India is implementing the world's largest clean energy programme, with a goal of generating 175 GW of renewable energy capacity. According to the Central Electricity Authority, the country's power demand by 2030 will be 817 GW, with clean energy accounting for more than half of that. Image Source Also read: Tata Power to set up 3-circuit transmission tower at Mumbai metro site Also read: Amazon, TotalEnergies inks PPA for supplying 474 MW renewable energy