AIIB approves $65 million loan for Hero Future Energies’ solar project in Jodhpur

The Asian Infrastructure Investment Bank (AIIB), a Beijing based multilateral development bank, has announced that its board of directors has approved a $65 million loan for a 250 MW solar power project in Jodhpur, India. According to Mercom Capital Group, the Hero Futures Energies (HFE), an independent power producer, will develop the project through its special purpose vehicle (SPV) Clean Solar Power (Jodhpur) Private Limited, which is expected to generate 616 MWh by 2022. HFE had won the 250 MW solar project by quoting a tariff of INR 2.53 ($0.03) per kWh in July 2018 under SECI’s 2 GW ISTS Program. The company had signed a 25-year Power Purchase Agreement (PPA) with SECI in November 2018, and the project is expected to be commissioned by October 2020.
Hero Future Energies has about 600 MW of large-scale solar projects in operation, and around 840 MW of projects are under development. Clean Solar Power (CSP), a step-down subsidiary of HFE, also received a debt financing of up to $43.3 million from International Financial Corporation (IFC), the financial arm of the World Bank. The company proposed the development, construction, operation, and maintenance of a 250 MW greenfield solar project located in Rajasthan’s Bhadla, says the article.

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