KPI Green Energy Limited has achieved a major milestone in India’s renewable energy sector with the sanction of ₹3,200 crore from State Bank of India’s Project Finance & Structured Business Unit. The funding, which includes both fund-based and non-fund based facilities, will be used to part-finance the company’s ambitious 250 MW solar power project and 370 MW hybrid project in Gujarat. Together, these projects add up to more than 1 GWp in KPI Green Energy’s growing Independent Power Producer portfolio.
The sanctioned facilities are earmarked for two strategically significant projects. The first is a 250 MW (AC) / 350 MWp (DC) solar power project, while the second is a 370 MW hybrid project that combines a 557 MWp solar portion with a 124.20 MW wind capacity. Both projects will be developed in the Bharuch and Surendranagar districts of Gujarat and are secured by long-term 25-year Power Purchase Agreements with Gujarat Urja Vikas Nigam Limited. This not only ensures revenue stability but also strengthens the company’s recurring income stream over the long term.
The projects will be financed with a 75:25 debt-equity structure, with funds allocated towards project costs, reimbursement of earlier expenses, and related development activities. The sanction from India’s largest public sector bank underscores SBI’s confidence in KPI Green Energy’s technical expertise, execution capabilities, and financial strength.
Upon commissioning, these projects are expected to play a crucial role in KPI Group’s vision of achieving 10 GW of renewable energy capacity by 2030. Alongside the financial impact, the environmental contribution is equally significant. The projects are estimated to offset more than 1.5 million tonnes of carbon dioxide emissions every year, which is equivalent to planting over 65 million trees annually.
