Sembcorp Green Infra Private Limited, a subsidiary of Sembcorp Industries, has been awarded a significant renewable energy project, receiving a letter of award for a 150 megawatt (MW) wind-solar hybrid power initiative. This project, connected to the Inter State Transmission System, is issued by the Solar Energy Corporation of India Ltd. (SECI) and represents a major addition to Sembcorp’s expanding portfolio in India.
This wind-solar hybrid project is part of a larger 600 MW bidding process launched by SECI, highlighting the rising demand for hybrid renewable energy solutions in the country. The funding for this venture will come from a combination of internal resources and debt, showcasing Sembcorp’s commitment to utilizing diverse financial strategies for sustainable growth.
Under a 25-year power purchase agreement (PPA) with SECI, the energy generated by the new facility will provide a stable revenue stream for Sembcorp. The company plans to commence commercial operations within two years of signing the PPA, further strengthening its presence in India’s renewable energy sector.
With this development, Sembcorp’s total renewable capacity in India will reach 4.9 gigawatts (GW), contributing to a robust global renewable portfolio of 14.6 GW, which includes an upcoming acquisition of 49 MW.
Sembcorp’s leadership has indicated that, while this project is a significant advancement, it is not expected to materially impact the company’s earnings per share or net tangible assets for the financial year ending December 31, 2024. This reflects a strategic approach to expanding renewable energy capacity while ensuring financial stability.
