DCM Shriram Limited and ReNew Power have signed two captive power agreements (CPAs) that will see 50 MW of renewable energy supplied from ReNew’s two upcoming projects in Bhavnagar, Gujarat, to DCM Shriram’s Chlor-Alkali manufacturing facility in Bharuch district, Gujarat.
ReNew will be setting up the two hybrid projects with a total investment of around Rs 8 billion through an equity partnership of approximately Rs 630 million by DCM Shriram. The 50-MW hybrid project, which, overall, has 100 MW of wind and solar generation capacity at its backend, is expected to generate about 250 million units of renewable energy every year exclusively for the DCM Shriram’s Bharuch facility. The combined transaction is one of the largest corporate renewable power supply deals in India under an operating expenses with a captive model. The CPAs for green energy have been signed for 25 years and will mitigate around 225,000 tonnes of carbon emissions annually.