Greenko sets up 100 GWh, $10 billion integrated renewable energy unit in Kurnool, Andhra Pradesh

Greenko Group, India’s largest renewable energy storage and transition company, plans to increase its renewable capacity to 100 GWh (10 GW for 10 hours per day) by 2027 with an investment of $10 billion.

The company began work on Tuesday on the world’s largest 5,230 MW integrated pumped-wind-solar hydel storage project. The first pouring of concrete at the project site was carried out by the Chief Minister of Andhra Pradesh, YS Jagan Mohan Reddy.

The Kurnool project will include 1,680 MW of pumped hydroelectricity which will be stored for six hours, equivalent to 10,800 MWh (10.80 GWh) of capacity. The project will also have 3,000 MW of solar capacity and 550 MW of wind capacity.

Mahesh Kolli, co-chief executive of Greenko Group, told FE that funding for the project has already been blocked.

The ArcelorMittal group has invested $600 million for the establishment of 1,000 MW of the 3,000 MW solar project attached to the integrated power plant.

“We already raised $800 million through green bonds in April. The capital injection will come from international investors such as the Abu Dhabi Investment Authority, the Government Investment Corporation of Singapore and Orix Corporation of Japan,” Kolli said.

Kolli and Anil Chalamalasetty are the founding promoters of Greenko.

“We have tied up 900MW of pumped storage capacity with three states of Bihar, West Bengal and Rajasthan. The balance will be sold to Ayana Renewables (500 MW) and Adanis (250 MW)”, he specified.

Going forward, the company will increase pumped hydel storage capacity to 50 GWh by 2025 and 100 GWh by 2027.
“We are already setting up 10 GWh of storage capacity each in Madhya Pradesh and Karnataka, and 17 GWh in Rajasthan which will be commissioned by 2025,”
Kolli said.

The company helps industries move away from costly captive power generation, which costs around Rs 7-8 per unit. Pumped hydro would cost no more than `4-5/unit.

ArcelorMittal will close its 800 MW captive power plant attached to the Hazira steelworks. “Now they will source green electricity at cheaper rates from us. It will be firm power supplied 24/7,” Kolli said. “Arcelor Group will also partner to us for our project in Karnataka.”

Pumped hydropower can solve big problems with intermittent wind-solar supplies if integrated with them, plus it doesn’t have to be a run-of-river hydel project. It is not as expensive as LNG or imported coal. “It can be a savior for the power sector reeling from the shortage crisis,” Kolli said.

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