According to reports, Welspun Energy today said it will invest Rs 1,000 crore in setting up a 100 MW solar power project in Chhattisgarh.
Welspun Renewables Energy Ltd (WREL), a subsidiary of Welspun Energy, has inked an MoU with Chattisgarh government for installing 100 MW Solar Power project, the company said in a press statement here. The MoU was signed in Raipur.
“The project is to be commenced in 2015, entailing an estimated investment of Rs 1,000 crore,” the company said.
With this project, WEL will achieve an annual CO2 emission reduction of 158,118 tonne. The project will de-carbonise state’s energy portfolio by 2015.
The state government will facilitate the approvals, land acquisition, registration and clearances for the project.
Welspun is developing more than 250 MW solar and 800 MW wind capacity in Rajasthan, Madhya Pradesh and Karnataka.
It plans to commission 1.7 GW of solar and wind power projects within the next three years.
“Welspun Energy has been in talks with various state governments for expansion of their renewable energy generation portfolio,” the statement said.
“A careful balance needs to be maintained for meeting India’s accelerating energy needs. De-carbonising production and accelerating economic activity has to be balanced,” said Vineet Mittal, co-founder and MD of Welspun Energy Ltd.
“The state governments have to adopt a proactive role. Green energy can be made affordable if more and more states take initiatives to expand their renewable portfolio. Dependence on fossil fuels must decrease,” he said.
WEL said it is confident that it will be able to source appropriate funding for this project in time.
Mittal said however that uncertain policy framework, payment security issues create edginess in investors to support power projects.
Welspun Energy is part of the $3.5 billion Welspun Group, with businesses in power generation, infrastructure, exploration and production of oil and natural gas, steel pipes and textiles.
Welspun Energy is setting up 750 MW of solar power and 1GW of wind power plants across India, amongst the largest capacities for power generation in the country.