Jath Wind Energy Private Limited

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NSL Renewable Power Private Limited signed an MOU with Maharastra Government to develop a 40 MW wind farm located at Jath taluka in Sangli district of Maharashtra. The wind farm would involve the building of 20 units of WT2000DF Inox make wind turbines with 2MW capacity each. The electricity generated from the project would be evacuated through Northern, Eastern, Western and North-Eastern grid of India to the state grid. A EPC for the wind farm had been awarded to Inox Wind Infrastructure Services Limited. Once the project was commissioned, Inox would assume responsibility for turbine operation and maintenance services. The pooling station would be a common facility shared by other developers (like Renew wind (50 MW), NU power (50 MW), NSL wind (49.5 MW project located around 4 kms from the project site) and others (yet to be identified). The pooling station would be connected to the project site through a 9 kms 33KV transmission (double line). NSL established Jath Wind Energy Private Limited (JWEPL), a special purpose vehicle, to execute the project. JWEPL was expected to sell power to the state utility Maharashtra State Electricity Distribution Company Limited (MSEDCL) through a 13-year PPA. The APPC (Average Power Purchase Cost) base tariff as per MERC tariff order (dated 29 April 2011 for Wind zone 1) was US$ 0.10/Unit (INR 5.37 per unit @53.44 INR/USD) for the first 13 years of operation. The transmission charges would be paid by JWEPL to the state transmission utility.The total capacity of 40 MW was eligible for CDM benefits under UNFCC and validation process was in progress. The project would contribute to meet the Renewable Purchase Obligation (RPO) of the state of Maharashtra. The Project attained financial closure in June and March 2014 at a debt/equity ratio of 66/34. The estimated project cost at the time of financial closure was US$ 42.3mn. Financing comprised of a US$ 12.02mn IFC "A" loan, US$ 14.8mn term loan arranged by Indian banks, and sponsor equity of US$ 15.48mn. The IFC "A" Loan was signed on 13th June 2014. The US$ 14.8mn term loan was arranged by SBI and EXIM Bank of India on 27th March 2014. The term loan had a grace period of 1-year and repayment schedule of 48 quarterly installments. The project was expected to be commissioned by March 2014.