Ratlam 170 MW Windfarm Development

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Continuum Wind Energy of Singapore (through its Indian subsidiary, Surajbari Windfarm Development Private Limited) entered into an agreement with Madhya Pradesh Government to develop 170MW wind farms located at Piploda and Dalauda taluka in Ratlam and Mandsaur districts, in the state of Madhya Pradesh. The project comprised of two contiguous wind farms with a combined capacity of 170MW. The wind farm will involve the building of 85 Inox DF2000 wind turbines of 2000 KW capacity each. The electricity generated from the project would be evacuated by the Madhya Pradesh state grid. The delivery of the power plant would be done by Inox Wind Limited and Inox Wind Infrastructure Services Limited. Surajbari Windfarm Development Private Limited established two special purpose vehicles - DJ Energy Private Limited (DJEPL) and Uttar Urja Projects Private Limited (UUPPL), to execute the 170MW project. DJEPL and UUPPL would sell the power to M.P Power Management Company Limited (MPPCL) through a 25-year PPA. The APPC (Average Power Purchase Cost) base tariff as per MPERC tariff order was US$ 0.097/Unit (INR 5.92 per unit @61 INR/USD). The transmission charges would be paid by DJEPL and UUPPL to the state transmission utility.The total capacity of 170MW was eligible under REC as per the CERC and CDM benefits under UNFCC. Financial closure took place on 1st July 2015.The total project cost at the time of financial closure was estimated at US$ 200 million. The debt equity ratio for the project was about 75/25. Financing comprised of 15-year term loan of USD $50 million from IFC (IFC "A" Loan), USD $100 million term loan by YES bank which was syndicated by IFC, and sponsor equity of US$ 50 million. For equity, Continuum Wind Energy had an agreement with Morgan Stanley Infrastructure Partners (MSIP) LLP, a part of Morgan Stanley Investment Management for investment of US$200m for various wind projects of the group. The projects are eligible for Generation based Incentive under the MNERA scheme.