JSW Neo Energy Limited, a wholly-owned subsidiary of JSW Energy, has signed a power procurement agreement (PPA) with Uttar Pradesh Power Corporation Limited (UPPCL) for the supply of 1,500 MW (12,000 MWh) of pumped hydro energy storage capacity.
The PPA will be valid for a period of 40 years. As per the agreement, JSW Neo Energy will be entitled to receive a fixed capacity charge of Rs 7.72 million per MW per annum. The project, to be developed in the Sonbhadra district of Uttar Pradesh, will allow for a scheduled energy discharge of 8 hours per day, including a maximum continuous discharge of 6 hours. The project is expected to be commissioned within the next six years.