HDFC Bank offers Rs 418 crore to fund BluPine Energy's solar project

HDFC Bank funds BluPine Energy: BluPine Energy has successfully secured Rs 418 crore funding from HDFC Bank for its upcoming 120 MW solar project in Sadla, Gujarat. According to the company statement, upon completion, the solar plant is projected to produce approximately 3.23 lakh MWh (megawatt-hours) of solar energy annually, offsetting roughly 2.96 lakh tonnes of CO2 equivalent each year and catering to around 2.7 lakh households.

Sanjeev Bhatia, CFO of BluPine Energy, stressed the significance of achieving financial closure for the project, attributing it to the debt facility provided by HDFC Bank. The total debt sanctioned for this endeavour amounts to Rs 418 crores ($50.1 million), as stated in the release.

Bhatia further highlighted that the addition of this solar project will elevate BluPine Energy's cumulative renewable energy capacity in Gujarat to 750 MW across seven projects under Gujarat Urja Vikas Nigam Limited (GUVNL). This will contribute to the company's broader renewable energy portfolio, which is expected to reach approximately 2.6 GW, with 730 MW already operational.

Rakesh Singh, Group Head of Investment Banking and Private Banking at HDFC Bank, expressed the bank's commitment to supporting environmentally conscious initiatives. Singh underscored the significance of partnering with BluPine Energy on the 120 MW solar power project in Gujarat, aligning with the bank's focus on promoting climate-sensitive solutions.

Under a Power Purchase Agreement (PPA) spanning 25 years from the scheduled commercial operation date, the electricity generated by this solar plant will be supplied to Gujarat Urja Vikas Nigam Limited (GUVNL), further solidifying BluPine Energy's contribution to sustainable energy production in the region.

(with PTI inputs)