ACME Solar Signs 300 MW Wind-Solar Hybrid PPA with SECI

Key Highlights ACME Solar, through its subsidiary ACME Renewtech Fifth, has signed a 25-year Power Purchase Agreement (PPA) with SECI for a 300 MW Wind-Solar Hybrid project. The agreement expands the company's contracted renewable energy portfolio and provides long-term revenue visibility. Business Update • ACME Renewtech Fifth signed a 25-year PPA with SECI for a 300 MW Wind-Solar Hybrid project. • The tariff has been fixed at ₹3.25 per unit, with a minimum annual Capacity Utilization Factor (CUF) of 30%. • Commercial power supply is scheduled to commence on June 30, 2028. • The project will be connected to the Inter-State Transmission System (ISTS). • With this agreement, ACME Solar's PPA-signed portfolio has increased to 6,870 MW. • The company's total contracted renewable energy portfolio now stands at 8,070 MW. What It Means • The long-term 25-year PPA provides predictable revenue visibility for the project. • The addition strengthens ACME Solar's renewable energy pipeline and execution roadmap. • Connectivity through the ISTS enables efficient power evacuation across states. • The expansion of the contracted portfolio reflects continued growth in the company's renewable energy business. Market Impact Impact: Positive The signing of a long-term PPA strengthens ACME Solar's future revenue visibility and expands its contracted project portfolio. The agreement also reinforces the company's position in India's growing renewable energy sector. Learning Outcome A Power Purchase Agreement (PPA) is a long-term contract under which a power producer agrees to supply electricity to a buyer at a pre-determined tariff. For renewable energy companies, PPAs provide stable revenue visibility, reduce demand risk, and improve project bankability.