Charisma Energy Services Limited (‘Charisma’), a public listed company on the Singapore Exchange (SGX) that specializes in power and energy services; and Sunseap International Pte Ltd, a subsidiary of Sunseap Group Pte Ltd (“Sunseap”), Singapore’s leading power producer in the solar energy spectrum, announce that their joint-venture has been awarded a 140 MegaWatt-peak (MWp) solar farm tender in the state of Rajasthan, India.
This 140MWp project provides a significant milestone for both Charisma and Sunseap, with it being the largest solar project undertaken by any Singapore company in India. The award is part of a 420 MWp solar farm development in Bhadla Solar Park, Rajasthan. The 25-year Power Purchase Agreement (PPA) will be inked with the National Thermal Power Corporation Limited (NTPC), India’s largest and state-owned power utility.
On his thoughts on the project, Mr Jinsi Lee, Head of International Markets at Sunseap shared, “India is an exciting market as it is possible to achieve tariff prices for solar that are very close to those of fossil fuels.”
Rajasthan, with its abundant land availability, enjoys a high number of cloud-free days and high insolation ideal for solar power generation. Rajasthan is ranked first in terms of total installed and commissioned solar capacity in India. The state is in the process of developing more solar parks totaling 32 GigaWatt-peak (GWp) of capacity in the next few years. This presents good opportunities for Singapore companies to partner and be part of their solar capacity development programme.
Sunseap and Charisma will collaborate with their Indian Partner Rising Sun Energy Pvt Ltd (“Rising Sun”) to develop this solar farm. Commenting on the news of the award, Managing Director of Rising Sun, Mr Arunav Sharma remarked, “There is going to be unprecedented development in the solar industry in India. The installed capacity increased from 25MWp in 2010 to over 4GWp in 2015. In line with the vision of Prime Minister Shri Narendra Modi to develop 100GWp of solar energy by 2022, I expect the uptake rate to accelerate further with technology advances and the introduction of policies that encourage solar development. I am excited to begin this journey with my Singaporean partners to bring us closer to the nation’s target.”
Mr Serko Tan, Chief Executive Officer of Charisma says, “This 140MWp project is a significant addition to our portfolio of renewable energy assets and a major milestone in Charisma’s shift in focus to the renewable energy sector.”
Mr Benjamin Yap, Group Director, South Asia Group of International Enterprise Singapore says, “IE Singapore sees great potential in the urban solutions sector in India. This project represents a breakthrough and milestone where Singapore companies are offering renewable energy solutions in Rajasthan, one of the front runners for fostering urban solutions in India. Singapore companies who have developed expertise in urban solutions should similarly seek opportunities in India.”
The Commercial Operation Date of this project is expected to be in 2Q2017.