ACME Solar has raised long-term project financing of ₹1,571 crore from India Infrastructure Finance Company Ltd (IIFCL) for the construction and development of its 300 MW assured peak power project in Rajasthan.
The ACME Renewtech Sixth project is funded by IIFCL as the sole lender, and the repayment period of the financing is 19 years. This is the first standalone greenfield financing by IIFCL for ACME Solar, and it enhances the company’s ability to access long-term funds for renewable energy development.
This fresh round of funding has taken the total funding secured by ACME Solar in the current fiscal year to ₹10,976 crore as the company continues to focus on growing its renewable energy and energy storage portfolio.
The project has signed a 25 year Power Purchase Agreement (PPA) with SECI Limited at a tariff of ₹6.28 per unit. Unlike traditional solar projects, under the PPA, the facility will combine solar generation with a Battery Energy Storage System (BESS) to ensure reliable peak power.
The project will involve an outlay of ₹2,123 crore and will have a 1,350 MWh BESS linked to solar generation. The storage system is expected to be a critical enabling component for predictable, dispatchable power supply, allowing the project to more effectively meet its contractual peak power obligations.
This is part of a larger program of ACME Solar to deploy battery-storage capital in the current fiscal year. The project integrates renewable generation with large-scale battery storage to address one of the main challenges of renewable energy – solar power generation variability.
“The Rajasthan project will help ACME Solar consolidate its position in the emerging assured and dispatchable renewable power segment. Adding BESS to solar capacity enables renewable electricity to be delivered at peak demand, bringing reliability and flexibility to clean power.
The financing milestone also points to the growing role of infrastructure lenders in supporting India’s transition to renewable energy and energy storage. Funding long-term projects can help developers undertake capital-intensive projects and support the expansion of the country’s clean-energy infrastructure.
ACME Solar has lined up financing of ₹10,976 crore so far this fiscal to step up investments in renewable energy and battery storage. The 300 MW Rajasthan project, backed by a 25-year PPA and 1,350 MWh of battery storage, is another significant step in the company’s strategy to develop reliable, large scale renewable power projects.
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