Essar to invest Rs 4,500 crore in Andhra Pradesh renewable energy project
The 300 MW project will combine solar and wind power with battery storage to provide dispatchable energy.
Essar Power will invest approximately Rs 4,500 crore in a 300 MW renewable energy project in Andhra Pradesh, according to the Deccan Chronicle. The investment follows a power purchase agreement signed between Essar Renewables Ltd (ERL) and the state-owned NHPC Ltd.
The project will use a mix of solar and wind power generation alongside Battery Energy Storage Systems (BESS). This setup aims to supply firm and dispatchable renewable energy to the grid.
The agreement is part of Essar Power's strategy to develop a 5 GW diversified energy portfolio covering renewable, thermal, and gas-based generation. The company is balancing clean energy investments with conventional power generation.
Essar Renewables has previously won three large renewable energy tenders from SJVN and NHPC, totaling a capacity of nearly 1 GW. NHPC is a Navratna public sector enterprise and India's largest hydropower development organisation.
Ankur Kumar, CEO of Essar Power, said the agreement would bolster the company's portfolio across solar, wind, and battery storage. He described the 300 MW project as a milestone in building a scalable renewable energy business.
Srinivasan Vaidyanathan, Operating Partner - Infrastructure at Essar Group, stated that the company's focus on new technologies provides a foundation to participate in India's energy growth. The project aligns with India's target of 500 GW of non-fossil fuel-based electricity capacity by 2030.