Sterling and Wilson’s Q1 FY 2026 Profit Up 680% on Project Execution Growth

Karnataka Electricity Regulator Issues Deviation Settlement Guidelines

US to Tighten Federal Review of Solar and Wind Energy Projects

Waaree’s Q1 FY 2026 Revenue Jumps 155% as EPC Segment Grows

Corporate Solar Funding Declines 39% YoY Amid Policy Uncertainties

NTPC Green Invites Bids to Select Coordinating Agency for 250 MW Solar Project

Daily News Wrap-Up: Center Extends NTPC, NLC Investment Cap in Subsidiaries

US Solar Manufacturers File Trade Petitions Against Solar Exports from India

Inox Wind to Raise ₹12.5 Billion Through Rights Issues of Shares

Germany Awards 255 MW Solar Projects on Buildings and Noise Barriers


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					</table><p>Sterling and Wilson Renewable Energy (<a href="https://www.sterlingandwilsonre.com/" target="_blank" rel="noopener">SWREL</a>) revenue from operations rose to ₹17.62 billion (~$204.88 million) in the first quarter (Q1) of the financial year (FY) 2026, a 93% year-on-year (YoY) increase from ₹9.15 billion (~$106.4 million).</p>
<p>This growth was driven by a ramp-up in the execution of engineering, procurement, and construction (EPC) projects across domestic and international markets.</p>
<p>Profit after tax stood at ₹390 million (~$4.53 million), a 680% YoY increase from ₹50 million (~$580,000), despite tax-related impacts.</p>
<p>The company’s gross profit stood at ₹2.05 billion (~$23.84 million), rising 101% from ₹1.02 billion (~$11.86 million) in the same quarter last year. This increase was supported by a reduction in input costs, including for solar modules and logistics.</p>
<p>The company’s gross margin improved slightly to 11.7% in Q1 FY 2026 from 11.1% in the same period of the previous year.</p>
<p>Earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at ₹1.02 billion (~$11.86 million), rising 176% YoY from ₹370 million (~$4.3 million). The EBITDA margin rose to 5.8% from 4% due to better operational leverage and controlled recurring overheads.</p>
<p><strong>EPC Projects, Order Book, and Execution Pipeline</strong></p>
<p>The company’s total EPC portfolio, comprising commissioned and under-construction projects, stood at 22.8 GW as of June 2025, with 11.2 GW currently under execution. It has over 40 projects under execution globally.</p>
<p>India remains SWREL’s primary market, accounting for approximately 88.3% of the unexecuted order book, valued at ₹83.48 billion (~$970.7 million).</p>
<p>In Q1 FY 2026, revenue from domestic EPC projects stood at ₹12.65 billion (~$147.03 million), with a gross profit of ₹1.37 billion (~$15.93 million) and a gross margin of 10.8%.</p>
<p>Major ongoing domestic projects include one of India’s largest solar projects at Khavda, Gujarat, and a large-scale battery energy storage system (BESS) project.</p>
<p>The international EPC segment contributed ₹4.37 billion (~$50.8 million) to SWREL’s revenue. Its gross profit in this segment was ₹540 million (~$6.28 million), with a gross margin of 12.3%. International projects account for 11.7% of the total order book.</p>
<p>The company operates in 28 countries and has executed projects in 20. Its key markets include the Middle East and North Africa region (1,969 MW), the U.S. and Latin America (over 1,000 MW), Australia (1,113 MW), and the rest of Africa (610 MW).</p>
<p><strong>New Orders and Pipeline</strong></p>
<p>In Q1 FY 2026, SWREL secured new domestic orders worth ₹8.13 billion (~$94.53 million). It also has a bid pipeline of 30 GW planned for the financial year.</p>
<p>The company also has a major international project in Nigeria pending finalization, which includes a 961 MW solar and a 455 MWh BESS project.  It signed a memorandum of understanding with the Government of Nigeria and Sun Africa for this project.</p>
<p>SWREL <a href="https://www.mercomindia.com/sterling-and-wilsons-q4-fy-2025-revenue-highest-ever-order-books-swells" target="_blank" rel="noopener">recorded</a> its highest-ever quarterly revenue of ₹25.19 billion (~$296.35 million) in Q4 FY 2025, a 114% YoY and 37% quarter-on-quarter growth.</p>



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					</table><p><a href="https://waareertl.com/" target="_blank" rel="noopener">Waaree Renewable Technologies</a>, the engineering, procurement, and construction arm of the Waaree Group, reported a consolidated revenue from operations of ₹6.03 billion (~$70.23 million) for the first quarter (Q1) of the financial year (FY) 2026, a 155.2% year-on-year (YoY) increase from ₹2.36 billion (~$27.48 million).</p>
<p>The revenue growth was mainly driven by a strong performance in its engineering, procurement, and construction (EPC) business.</p>
<p>The company’s profit after tax (PAT) rose 207% YoY to ₹863.9 million (~$10.06 million) from ₹281.6 million (~$3.28 million).</p>
<p>The PAT margin during the quarter stood at 14.32% against 11.91% in Q1 FY 2025.</p>
<p>Earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at ₹1.17 billion (~$13.63 million), a 186.14% increase from ₹410.8 million (~$4.78 million) in the same quarter of the previous year. The company’s EBITDA margin was 19.49%.</p>
<p>Basic earnings per share (EPS) for the quarter came in at ₹8.29 (~$0.096), compared to ₹2.78 (~$0.032) a year ago.</p>
<p>The company said it had an unexecuted order book of 3.15 GW to be executed between 12-15 months and a bidding pipeline of ~25 GW.</p>
<p>During Q1, the company won a 435 MW solar project and a 131.6 MW solar project.</p>
<p>In June, Waaree Renewable Technologies received a letter of award from Purvah Green Power for the EPC of a 300 MW solar power project valued at 3.46 billion (~$40.49 million) in Bikaner, Rajasthan. The project is scheduled for completion this financial year.</p>
<p>Commenting on the results, Manmohan Sharma, CFO, said, “In response to the evolving energy landscape, we have broadened our portfolio to include Battery Energy Storage System (BESS) EPC solutions, reinforcing our position as a full-spectrum clean energy provider.”</p>
<p>He added that the company was well-equipped to deliver next-generation, large-scale, integrated energy projects. Besides BESS, it is also foraying into data centers.</p>
<p>In the fourth quarter of FY 2025, the company <a href="https://www.mercomindia.com/epc-contracts-push-waarees-revenue-up-83-10-in-fy25" target="_blank" rel="noopener">reported</a> a 74.84% YoY increase in revenue to ₹4.81 billion (~$56.15 million) from ₹2.75 billion (~$32.1 million).</p>



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					</table><p>In a major push for clean energy, the government <a href="https://www.mercomindia.com/government-allows-ntpc-nlc-to-invest-%E2%82%B9270-billion-in-green-energy-arms" target="_blank" rel="noopener">allowed</a> two central public sector enterprises to invest up to ₹270 billion (~$3.14 billion) in their renewable energy subsidiaries. The decision by the Cabinet Committee on Economic Affairs (CCEA) is expected to facilitate the acceleration of India’s renewable energy project development and ensure investments in reliable, round-the-clock electricity across the country. The CCEA authorized NTPC to invest up to ₹200 billion (~$2.32 billion) in its renewable energy subsidiaries, NTPC Green Energy and NTPC Renewable Energy, as well as other joint ventures. The earlier investment cap was ₹75 billion (~$873.38 million).</p>
<p>Nearly 8 GW of renewable energy capacity, comprising solar, wind-solar hybrid, solar with battery energy storage systems, round-the-clock, and firm and dispatchable renewable energy, is <a href="https://mercomindia.com/solar-power-seci-remains-unsold-due-lack-offtakers" target="_blank" rel="noopener">stranded</a> for want of offtakers, according to the latest list of unsold power released by the Solar Energy Corporation of India (SECI). The total capacity lying unsold was 7,966 MW, SECI said. Hedging by distribution companies to sign power sale agreements with SECI in light of the trend of falling tariffs is among the reasons for the large capacities of stranded power.</p>
<p>As India works toward its goal of <a href="https://www.mercomindia.com/indias-solar-manufacturing-landscape-opportunities-and-challenges" target="_blank" rel="noopener">generating</a> 50% of its electricity from renewable sources and achieving 500 GW of non-fossil fuel capacity by 2030, the focus is shifting increasingly to domestic solar manufacturing. Developing a robust, self-reliant supply chain for solar modules and cells has become a critical priority, not only for meeting deployment goals but also for reducing import dependence and enhancing energy security. While India’s manufacturing capabilities are expanding, it still has a long way to go to meet the rising demand. A high-level panel discussion on “Domestic Cell and Module Production: Meeting Demand, Competing on Quality and Price” at Mercom India’s fifth Renewables Summit, taking place on July 24–25, 2025, at the Hyatt Regency, New Delhi, will address these issues.</p>
<p>The Delhi Government <a href="https://www.mercomindia.com/delhi-raises-residential-rooftop-solar-subsidy-to-%E2%82%B910000-kw#:~:text=The%20Delhi%20Government%20has%20notified,of%20up%20to%203%20kW." target="_blank" rel="noopener">notified</a> the first amendment to the Delhi Solar Energy Policy 2023, increasing the state capital subsidy for residential rooftop solar systems. The revised subsidy now stands at ₹10,000 (~$116.28)/kW, capped at ₹30,000 (~$348.84) for systems with a capacity of up to 3 kW. In the draft Delhi Solar Energy Policy, 2023, the Delhi government offered a state capital subsidy of ₹2,000 (~$23.26)/kW with a cap of ₹10,000 (~$116.28)/consumer. The amendment also introduces a new capital subsidy for group housing societies and resident welfare associations. A subsidy of ₹2,000 (~$23.26)/kW will now be provided for solar capacity installed for common facilities, including electric vehicle charging infrastructure, up to 500 kW. This 500 kW cap includes both common facilities and rooftop solar systems installed by individual households within the society.</p>
<p>Noida-based wind energy solutions company Inox Wind’s board of directors <a href="https://www.mercomindia.com/inox-wind-to-raise-%E2%82%B912-5-billion-through-rights-issues-of-shares" target="_blank" rel="noopener">approved</a> raising ₹12.5 billion (~$145.16 million) through the issuance of equity shares worth ₹10 (~$0.12) per share to its existing shareholders. The timing and other terms of the rights issue are yet to be decided. Inox Wind is part of the Inox GFL Group. The company operates four wind turbine generator production plants in Gujarat and Madhya Pradesh, with a total manufacturing capacity of 1.5 GW. The company provides infrastructure services encompassing the complete lifecycle of wind projects.</p>
<p>Germany <a href="https://www.mercomindia.com/germany-3-gw-solar-capacity-in-q2-2025" target="_blank" rel="noopener">added</a> 3 GW of solar capacity in the second quarter (Q2) of 2025, a 12% year-over-year drop from 3.4 GW, according to data from the Federal Network Agency (Bundesnetzagentur). Mercom reported that Germany installed 3.8 GW of solar power in Q1 2025, but the Federal Network Agency later revised this figure to 4.1 GW. The country’s cumulative solar capacity reached 107.4 GW with the recent addition. Germany added 977.8 MW of solar capacity in April, 1,145.8 MW in May, and 904.6 MW in June. The country recorded the lowest monthly installations in June this year.</p>
<p>Bundesnetzagentur <a href="https://www.mercomindia.com/germany-awards-255-mw-solar-projects-on-buildings-and-noise-barriers" target="_blank" rel="noopener">awarded</a> 255 MW of solar projects on buildings and noise barriers in its latest tender round. Out of the 127 bids received for a total capacity of 274 MW in response to the tendered capacity of 283 MW, the agency awarded contracts to 118 bids with a combined capacity of 255 MW. The awarded tariffs ranged from €0.069 (~$0.0745)/kWh to €0.1038 (~$0.1121)/kWh. The volume-weighted average award value came in at €0.0922 (~$0.0996)/kWh, which is marginally higher than the average of €0.091 (~$0.0983)/kWh in the previous tender round. The ceiling price for this round was €0.104 (~$0.1123)/kWh, marking a notable increase compared to previous limits.</p>



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					</table><p>Nearly 8 GW of renewable energy capacity comprising solar, wind-solar hybrid, solar with battery energy storage systems (BESS), round-the-clock (RTC), and firm and dispatchable renewable energy (FDRE) is stranded for want of offtakers, according to the latest list of unsold power released by the Solar Energy Corporation of India (<a href="https://www.seci.co.in/" target="_blank" rel="noopener">SECI</a>).</p>
<p>The total capacity lying unsold was 7,966 MW, SECI said.</p>
<p>Hedging by distribution companies (DISCOMs) to sign power sale agreements with SECI in light of the trend of falling tariffs is among the reasons for the large capacities of stranded power. DISCOMs and states are subject to renewable purchase obligations with stiff penalties for non-compliance; however, this has not helped SECI secure procurement deals for the power available with it.</p>
<p>Under SECI’s Tranche XV solar plus energy storage <a href="https://www.mercomindia.com/seci-solar-plus-storage-auction-tranche-xv/" target="_blank" rel="noopener">auction</a>, 500 MW is available from JSW Neo at a tariff of ₹3.42 (~$0.041)/kWh, while 250 MW is available from ACME Solar Holdings at the same tariff. Additionally, energy storage systems with a capacity of at least 0.5 MW or 1 MW will be installed as part of the project.</p>
<p>Under the Tranche XIV solar <a href="https://www.mercomindia.com/ntpc-win-seci-solar-tranche-xvi-auction/" target="_blank" rel="noopener">auction</a>, 300 MW each is available from Avaada Energy and ReNew Solar Power at ₹2.57 (~$0.031)/kWh.</p>
<p>The Tranche XIII solar <a href="https://www.mercomindia.com/jsw-sunsure-upc-ntpc-win-secis-solar-tranche-xiii-auction/" target="_blank" rel="noopener">auction</a> includes 250 MW capacity from NTPC Renewable Energy at ₹2.57 (~$0.031)/kWh.</p>
<p>Under Tranche XI solar <a href="https://www.mercomindia.com/sael-renew-eden-jakson-winners-secis-solar-auction" target="_blank" rel="noopener">auction</a>, 300 MW each is available from Eden Renewable Cadet at ₹2.60 (~$0.030)/kWh.</p>
<p>The manufacturing-linked solar <a href="https://www.mercomindia.com/adani-azure-win-seci-solar-tender-greenshoe-option-next" target="_blank" rel="noopener">auction</a> includes 667 MW of capacity from Azure Power India at ₹2.42 (~$0.028)/kWh, with 1,799 MW available from Adani Green Energy Four at the same rate of ₹2.42 (~$0.028)/kWh. The power purchase agreement for this was signed in December 2023 and the auction was held in January 2020.</p>
<p>Under Tranche-IX wind solar hybrid <a href="https://www.mercomindia.com/seci-wind-solar-auction-tranche-ix" target="_blank" rel="noopener">auction</a>, 150 MW is available from Juniper Green Energy at ₹3.25 (~$0.038)/kWh, 300 MW is available from ACME Solar Holdings at ₹3.25 (~$0.038)/kWh, and 150 MW is available from Sembcorp Green Infra at ₹3.26 (~$0.038)/kWh.</p>
<p>The Tranche-VIII solar wind hybrid <a href="https://www.mercomindia.com/seci-wind-solar-auction-tranche-viii" target="_blank" rel="noopener">auction</a> includes 300 MW of capacity from JSW Neo Energy at ₹3.45 (~$0.040)/kWh with a capacity utilization factor of 30%, with 60 MW available from Adyant Enersol at ₹3.45(~$0.040)/kWh, and 150 MW available from AMPIN Energy Utility at ₹3.45 (~$0.040)/kWh. Another 300 MW is available from the Asurari Renewables India Project at ₹3.45 (~$0.040)/kWh, 150 MW is available from Juniper Green Energy at ₹3.43 (~$0.039)/kWh, and 240 MW from Avada Energy at ₹3.46 (~$0.040)/kWh. A</p>
<p>Under Tranche-VI wind/solar plus energy storage <a href="https://www.mercomindia.com/amp-energy-renew-hero-2-gw-hybrid-tender" target="_blank" rel="noopener">auction</a>, 50 MW is available from AMP Energy Green at ₹4.64 (~$0.054)/kWh, 300 MW is available from ReNew Vikram Shakti at ₹4.69 (~$0.055)/kWh, 60 MW is available from Hero Solar Energy at ₹4.72 (~$0.055)/kWh, and 190 MW is available from ACME Cleantech Solutions at ₹4.72 (~$0.055)/kWh.</p>
<p>The FDRE-IV <a href="https://www.mercomindia.com/jsw-hero-vena-hexa-climate-and-serentica" target="_blank" rel="noopener">auction</a> includes 100 MW of capacity each available from Hexa Climate Solutions, Serentica Renewable India 11, Vena Energy Aura, and Hero Solar Energy at ₹4.98 (~$0.058) to ₹4.99 (~$0.059)/kWh, with 230 MW available from JSW Neo Energy at ₹4.98 (~$0.058)/kWh.</p>
<p>Under SECI’s FDRE-VI <a href="https://www.mercomindia.com/altra-xergi-seci-fdre-vi-auction" target="_blank" rel="noopener">auction</a>, 200 MW is available from Altra Xergi Power at ₹8.50 (~$0.099)/kWh.</p>
<p>The RTC-IV <a href="https://www.mercomindia.com/hexa-hero-jindal-sembcorp-win-secis-auction" target="_blank" rel="noopener">auction</a> includes 120 MW of capacity from Hero Solar Energy at ₹5.06 (~$0.058)/kWh, 100 MW from Hexa Climate Solutions at ₹5.06 (~$0.058)/kWh, 150 MW from Jindal India Power at ₹5.07 (~$0.059)/kWh, and 50 MW from Sembcorp Green Infra at ₹5.07 (~$0.059)/kWh.</p>
<p>SECI’s trading margin of ₹0.07 (~$0.00082)/kWh will be applied in addition to the discovered tariffs.</p>


Nearly 8 GW of Renewable Power from SECI Remains Unsold Due to Lack of Offtakers


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					</table><p>The Ministry of Power <a href="https://www.mercomindia.com/power-ministry-launches-program-to-boost-energy-efficiency-in-msme-sector" target="_blank" rel="noopener">launched</a> a new program, Assistance in Deploying Energy-Efficient Technologies in Industries and Establishments (ADEETIE), aimed at enhancing energy efficiency in micro, small, and medium enterprises. The Bureau of Energy Efficiency is the implementing agency for this program, which has an outlay of ₹10 billion (~$116.28 million). It will be implemented over a three-year period from the financial years 2026 to 2028. Under ADEETIE, financial support will be extended in the form of interest subvention, with 5% for micro and small enterprises and 3% for medium enterprises.</p>
<p>The recent <a href="https://www.mercomindia.com/electricity-derivatives-a-gamechanger-for-indian-power-market-stakeholders" target="_blank" rel="noopener">launch </a>of electricity derivatives by the Multi Commodity Exchange of India (MCX) and the National Stock Exchange is a long-awaited reform, with a history spanning over 15 years. The current outcome is that any contracts involving the physical delivery of electricity will be regulated by CERC, while all other contracts will be regulated by SEBI. The launch of electricity derivatives is an important initiative for power sector stakeholders, including independent power producers, distribution companies, and bulk electricity offtakers.</p>
<p>As India <a href="https://www.mercomindia.com/components-manufacturing-key-to-renewable-energy-sector-growth" target="_blank" rel="noopener">accelerates</a> the integration of renewable energy, the focus is shifting beyond solar module manufacturing to encompass a broader range of components critical for the sector’s long-term sustainability. The country needs to strengthen its local manufacturing base for inverters, storage systems, and balance-of-system equipment to achieve true self-sufficiency in renewable energy. This issue will be discussed in depth at the fifth edition of the Mercom India Renewables Summit, set to take place on July 24-25, 2025, at the Hyatt Regency, New Delhi.</p>
<p>It is not only industries with huge power requirements that are <a href="https://www.mercomindia.com/rooftop-solar-helps-national-institute-reduce-electricity-costs-by-30" target="_blank" rel="noopener">recognizing</a> the benefits of switching to solar energy. National institutions of repute are also going green by reducing their carbon footprint by installing solar panels on their rooftops. A recent instance is that of Pandit Deendayal Upadhyaya National Institute for Persons with Physical Disabilities in New Delhi. The institute has installed a 102 kW rooftop solar system, which generates enough power to run rehabilitation machines and cater to other energy needs. Institute Director Dr Jitendra Sharma highlighted that the installation of the rooftop system has resulted in an estimated 30% reduction in electricity costs.</p>
<p>The Appellate Tribunal for Electricity <a href="https://mercomindia.com/aptel-rules-transmission-line-ctu-deemed-interstate-system" target="_blank" rel="noopener">confirmed</a> that transmission systems built, owned, and operated by the Central Transmission Utility qualify as an interstate transmission system even if located within a single state. The ruling came while dismissing the Tamil Nadu Generation and Distribution Corporation’s appeal, which challenged the Central Electricity Regulatory Commission’s classification of transmission assets developed by Power Grid Corporation of India for evacuating power from the NP Kunta Solar Park as part of the interstate transmission system. The Tribunal ruled that the tariff for these assets must be recovered through the point of connection mechanism, as per the CERC Sharing Regulations, 2010.</p>
<p>The Chhattisgarh State Electricity Regulatory Commission <a href="https://www.mercomindia.com/chhattisgarh-hikes-fy-2026-electricity-tariffs-by-1-89-across-categories" target="_blank" rel="noopener">issued</a> its final tariff order for the financial year 2026, introducing an average hike of 1.89% across consumer categories. The revised rates are effective until March 31, 2026, or until the next order is issued. The decision was primarily driven by the need to address a cumulative revenue gap faced by the state’s power utilities, particularly the Chhattisgarh State Power Distribution Company. The Commission approved a cumulative revenue gap of ₹5.23 billion (~$63.05 million), resulting in an average tariff increase of ₹0.14 (~$0.0017)/kWh, or approximately 1.89%, without any change in fixed or demand charges. The revised average cost of supply stands at ₹7.02 (~$0.085)/kWh.</p>
<p>The Punjab State Electricity Regulatory Commission (PSERC) <a href="https://www.mercomindia.com/punjab-regulator-approves-pspcls-rooftop-solar-expansion-plan#:~:text=The%20work%20was%20divided%20into,million%20units%20of%20energy%20annually." target="_blank" rel="noopener">allowed</a> the Punjab State Power Corporation to install rooftop solar systems across 1,013 office buildings under the capital expenditure model. The Commission approved the capital expenditure of ₹1.23 billion (~$14.32 million), which includes the total value of work orders issued across seven packages, covering applicable taxes and duties. However, PSERC rejected the inclusion of administrative charges of ₹326.4 million (~$3.8 million) in the capital cost, citing potential duplication. It noted that the charges are already accounted for in the annual revenue requirement under operations and maintenance expenses.</p>
<p>Military Engineer Services, under the Chief Engineer, Bathinda Zone, <a href="https://www.mercomindia.com/mes-floats-operation-and-maintenance-tender-for-5-mw-solar-project" target="_blank" rel="noopener">issued</a> a tender for the comprehensive operation and maintenance (O&amp;M) of a 5 MW solar project located across Suratgarh (2 MW), Sri Ganganagar (2 MW), and Kanasar (1 MW) in Rajasthan. Bids must be submitted by August 11, 2025. Bids will be opened on August 13. The scope of work entails routine and corrective maintenance, testing, record-keeping, and all related operational tasks across the three project sites. The contract will be for a period of 10 years. Regular performance evaluations will be conducted every six months during the contract period.</p>
<p>The Solar Energy Corporation of India <a href="https://www.mercomindia.com/seci-invites-bids-for-operation-and-maintenance-of-10-mw-solar-project" target="_blank" rel="noopener">invited</a> bids for the O&amp;M of a 10 MW ground-mounted solar power project in Badi Sid, Rajasthan, for five years. The last date to submit bids is August 5, 2025. Bids will be opened on the same day. The scope of work includes the O&amp;M of the project, as well as providing insurance coverage for five years. It also covers performance demonstration, storage of all spare parts, consumables, and repairs/replacements of defective equipment. It also entails arranging tools, tackles, logistics, test kits, manpower, and experts required for the operation of the solar power project.</p>
<p>With an installed capacity of 46.9 million tons a year, Shree Cement is among the leading cement manufacturers in India. In line with sustainability commitments, the company has recently <a href="https://www.mercomindia.com/shree-cement-aims-to-cut-reliance-on-grid-energy-with-6-mw-solar-project" target="_blank" rel="noopener">commissioned</a> a 6 MW solar project at its Roorkee facility in Uttarakhand. This project was developed with a capital investment of approximately ₹160 million (~$1.86 million). The solar project, adjacent to Shree Cement’s manufacturing facility, will help the company reduce its dependence on grid power and raise the Roorke plant’s solar capacity to 7 MW.</p>
<p>Switzerland-based impact asset manager responsAbility will <a href="https://www.mercomindia.com/august-energy-15-million-expand-india-renewables-portfolio#:~:text=Switzerland%2Dbased%20impact%20asset%20manager,on%20behalf%20of%20its%20investors." target="_blank" rel="noopener">invest</a> $15 million (~₹1.28 billion) in Singapore-headquartered energy-as-a-service infrastructure platform, August Energy, on behalf of its investors. The funding will support August Energy in expanding its portfolio of distributed renewable energy projects in India. The investment is part of responsAbility’s $500 million (~₹42.95 billion) climate investment strategy for Asia. It aims to accelerate the decarbonization of key economic sectors in emerging and developing Asian markets. August Energy aims to increase its installed capacity to over 1 GW within the next five years. The funding will also provide the company with flexibility to execute its growing project pipeline in the country over the next 12 months.</p>
<p>The U.S. Department of Commerce <a href="https://www.mercomindia.com/us-initiates-national-security-investigation-into-polysilicon-imports" target="_blank" rel="noopener">commenced</a> an investigation to determine the effects of importing polysilicon and its derivatives on the country’s national security. The investigation aims to assess the potential for export restrictions by foreign nations, including their ability to weaponize their control over polysilicon and its derivatives. Polysilicon is a key material used in the production of solar cells and modules. Commerce has invited interested parties to submit written comments, data, analyses, or other information pertinent to the investigation to the Department’s Bureau of Industry and Security and Office of Strategic Industries and Economic Security.</p>


Daily News Wrap-Up: MoP Launches Energy Efficiency Program for MSMEs


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					</table><p>In a major push for clean energy, the government has allowed two central public sector enterprises to invest up to ₹270 billion (~$3.14 billion) in their renewable energy subsidiaries.</p>
<p>The decision by the Cabinet Committee on Economic Affairs (CCEA) is expected to facilitate the acceleration of India’s renewable energy project development and ensure investments in reliable, round-the-clock electricity across the country.</p>
<p>The CCEA authorized <a href="https://ntpc.co.in/" target="_blank" rel="noopener">NTPC</a> to invest up to ₹200 billion (~$2.32 billion) in its renewable energy subsidiaries, NTPC Green Energy (<a href="https://www.ngel.in/ngel-home" target="_blank" rel="noopener">NGEL</a>) and NTPC Renewable Energy (<a href="https://ntpcrel.co.in/" target="_blank" rel="noopener">NREL</a>), as well as other joint ventures. The earlier investment cap was ₹75 billion (~$873.38 million).</p>
<p>NGEL has a renewable energy portfolio of approximately 32 GW. Of this capacity, approximately 6 GW is operational, roughly 17 GW is contracted or under award, and 9 GW is in the pipeline.</p>
<p>The increase in the investment limit will help NTPC’s subsidiaries achieve their goal of 60 GW of renewable energy capacity by 2032.</p>
<p>The government also approved a special exemption for NLC India (<a href="https://www.nlcindia.in/website/en/" target="_blank" rel="noopener">NLCIL</a>) from the prevailing investment guidelines for public sector enterprises to invest ₹70 billion (~$815.16 million) in its wholly owned subsidiary, NLC India Renewables (NIRL). NIRL will invest this amount in multiple projects, either directly or by forming joint ventures, without requiring prior approval under the existing delegation of powers.</p>
<p>This investment is also exempted from the 30% net worth ceiling prescribed by the Department of Public Enterprises for total investments by central public sector enterprises in joint ventures and subsidiaries.</p>
<p>NLC India aims to develop 10.11 GW of renewable energy capacity by 2030, with a projected expansion to 32 GW by 2047. It currently operates seven renewable energy assets with a total installed capacity of 2 GW. These assets are either operational or close to commercial operation. They will be transferred to NIRL after the Cabinet’s approval.</p>
<p>Recently, NLCIL <a href="https://www.mercomindia.com/nlc-india-to-invest-%E2%82%B916-3-billion-in-renewables-subsidiary" target="_blank" rel="noopener">granted</a> an in-principle approval to invest up to ₹16.3 billion (~$190 million) in one or more tranches in NIRL.</p>
<p>In June this year, NTPC <a href="https://www.mercomindia.com/ntpc-raises-750-million-via-external-commercial-borrowing" target="_blank" rel="noopener">raised</a> an unsecured $750 million via an external commercial borrowing syndicated term loan facility.</p>


Government Allows NTPC, NLC to Invest ₹270 Billion in Green Energy Arms


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					</table><p>Switzerland-based impact asset manager <a href="https://www.responsability.com/" target="_blank" rel="noopener">responsAbility</a> will invest $15 million (~₹1.28 billion) in Singapore-headquartered energy-as-a-service (EaaS) infrastructure platform, <a href="https://august-energy.com/" target="_blank" rel="noopener">August Energy,</a> on behalf of its investors. The funding will support August Energy in expanding its portfolio of distributed renewable energy projects in India.</p>
<p>The investment is part of responsAbility’s $500 million (~₹42.95 billion) climate investment strategy for Asia. It aims to accelerate the decarbonization of key economic sectors in emerging and developing Asian markets.</p>
<p>August Energy aims to increase its installed capacity to over 1 GW within the next five years. The funding will also provide the company with flexibility to execute its growing project pipeline in the country over the next 12 months.</p>
<p>This investment is August Energy’s first structure financing delivered in partnership with responsAbility.</p>
<p>August Energy focuses on decentralized energy infrastructure for commercial and industrial clients in India and Southeast Asia. The company develops and operates rooftop solar and integrated utility services, including cooling-as-a-service and steam-as-a-service solutions.</p>
<p>It is backed by institutional investors such as Asia-Pacific Sustainable &amp; Decarbonisation Infrastructure Equity, an Aravest and SMBC Group-backed investment fund, and Green Tower, an investment vehicle promoted by the Green Giraffe group and Daiwa Securities.</p>
<p>responsAbility funds scaling infrastructure platforms with strong regional execution capacity, aiming to mobilize private capital towards energy transition in fast-growing economies.</p>
<p>The company has deployed over $16.8 billion in impact investments. As of June 30, 2025, it manages approximately $5.5 billion in assets across around 300 portfolio companies in approximately 70 countries.</p>
<p>In January this year, responsAbility <a href="https://mercomindia.com/responsability-injects-20-million-in-ev-manufacturer-euler-motors" target="_blank" rel="noopener">announced</a> an investment of up to $20 million in Euler Motors, a New Delhi-based electric commercial vehicle manufacturer.</p>
<p>In 2024, independent power producer AMPIN Energy Transition <a href="https://www.mercomindia.com/ampin-energy-secures-to-fund-expansion-plans" target="_blank" rel="noopener">secured</a> funding of up to $35 million from responsAbility to help it expand its clean energy projects across India.</p>


August Energy Secures $15 Million to Expand India Renewables Portfolio


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					</table><p>The Ministry of Power (<a href="https://powermin.gov.in/" target="_blank" rel="noopener">MoP</a>) has launched a new program, Assistance in Deploying Energy-Efficient Technologies in Industries &amp; Establishments (ADEETIE), aimed at enhancing energy efficiency in micro, small, and medium enterprises (MSMEs).</p>
<p>The Bureau of Energy Efficiency (<a href="https://beeindia.gov.in/en" target="_blank" rel="noopener">BEE</a>) is the implementing agency for this program, which has an outlay of ₹10 billion (~$116.28 million). It will be implemented over a three-year period from the financial years 2025-26 to 2027-28.</p>
<p>Under ADEETIE, financial support will be extended in the form of interest subvention, with 5% for micro and small enterprises and 3% for medium enterprises.</p>
<p>Out of the total budget, ₹8.75 billion (~$101.74 million) has been earmarked for interest subvention, ₹500 million (~$5.81 million) for conducting Investment Grade Energy Audits (IGEA), and ₹750 million (~$8.72 million) for implementation and handholding support.</p>
<p>The government expects to mobilize investments worth ₹90 billion (~$1.046 billion) through the program, including ₹67.5 billion (~$784.88 million) in prospective lending to MSMEs.</p>
<p>The program will provide end-to-end technical support, including investment-grade energy audits, preparation of detailed project reports, technology identification, and post-implementation monitoring and verification.</p>
<p>It will be implemented in two phases, starting with 60 industrial clusters in the first phase and extending to 100 more in the second. Fourteen energy-intensive sectors &#8212; brass, bricks, ceramics, chemicals, fisheries, food processing, forging, foundries, glass, leather, paper, pharmaceuticals, steel re-rolling, and textiles – are included under the program.</p>
<p>In 2023, the Ministry of Power <a href="https://www.mercomindia.com/government-launches-efficiency-technology-demonstration" target="_blank" rel="noopener">established</a> a new platform called Advanced Industrial Technology Demonstration Center for industry stakeholders to demonstrate and exchange knowledge on new energy-efficient technologies in the country.</p>
<p>While India has made significant strides in renewable energy, Indian businesses have been slow in adopting energy efficiency solutions in their operations. In an interview, Manya Ranjan, Co-Founder, Two Point O Capital, <a href="https://www.mercomindia.com/awareness-of-energy-efficiency-benefits-among-ci-businesses-lacking-interview">attributed</a> this to a lack of awareness, fragmented ecosystem, and absence of flexible financing options.</p>


Power Ministry Launches Program to Boost Energy Efficiency in MSME Sector


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					</table><p>The Chhattisgarh State Electricity Regulatory Commission (<a href="https://cserc.gov.in/" target="_blank" rel="noopener">CSERC</a>) has issued its final tariff order for the financial year (FY) 2026, introducing an average hike of 1.89% across consumer categories. The revised rates are effective until March 31, 2026, or until the next order is issued.</p>
<p>The decision was primarily driven by the need to address a cumulative revenue gap faced by the state&#8217;s power utilities, particularly the Chhattisgarh State Power Distribution Company (CSPDCL).</p>
<p>The Commission approved a cumulative revenue gap of ₹5.23 billion (~$63.05 million), resulting in an average tariff increase of ₹0.14 (~$0.0017)/kWh, or approximately 1.89%, without any change in fixed or demand charges. The revised average cost of supply stands at ₹7.02 (~$0.085)/kWh.</p>
<p><strong>Consumer Tariffs</strong></p>
<p>For low-voltage (LV) domestic consumers (LV-1), energy charges range from ₹4.1 (~$0.049)/kWh to ₹8.3 (~$0.10)/kWh across consumption slabs, with fixed charges ranging from ₹20 (~$0.24) to ₹4 (~$0.48)/kW per month.</p>
<p>Non-domestic LV-2 consumers will be charged between ₹6.3 (~$0.076)/kWh and ₹8.7 (~$0.105)/kWh, based on load and phase.</p>
<p>For electric vehicle (EV) charging stations, a new category, LV-2.3, has been introduced with a flat tariff of ₹7.02 (~$0.085)/kWh and no fixed charges. LV agriculture users (LV-3) will be charged ₹5.8 (~$0.070)/kWh and ₹100 (~$1.20)/HP/month, with a 30% rebate for non-subsidized consumers.</p>
<p>Industrial tariffs (LV-5) range from ₹4.55 (~$0.055) to ₹6.80 (~$0.082)/kWh, depending on the load and region.</p>
<p>Public utilities (LV-6) will be charged ₹7.35 (~$0.089)/kWh, with fixed charges ranging from ₹142 (~$1.71) to ₹190 (~$2.29)/kW.</p>
<p><strong>Time-of-Day Tariffs </strong></p>
<p>The Time-of-Day tariffs will take effect on September 1, 2025, with a 5% premium during peak hours (5 PM to 11 PM) and a 5% discount during off-peak hours (9 AM to 5 PM).</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-82055 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article.png" alt="CSERC Tariff" width="847" height="291" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article.png 847w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-300x103.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-768x264.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-650x223.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-844x291.png 844w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-624x214.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/CSERC-tariff-article-600x206.png 600w" sizes="(max-width: 847px) 100vw, 847px" /></a></p>
<p><strong>High Voltage Consumer Tariff</strong></p>
<p>For high-voltage (HV) categories, railway (HV-1) consumers will be charged ₹5.55 (~$0.067)/kVAh with a demand charge of ₹375 (~$4.52)/kVA/month. Mining (HV-2) consumers must pay energy charges ranging from ₹6.95 (~$0.084) to ₹7.80 (~$0.094)/kVAh, depending on the voltage level.</p>
<p>Tariffs for general industries (HV-3) vary from ₹6.65 (~$0.08) to ₹7.90 (~$0.095)/kVAh, while steel (HV-4) tariffs range between ₹6.1 (~$0.073) and ₹7.55 (~$0.091)/kVAh, including load factor rebates up to 25%.</p>
<p>Agriculture/public water works (HV-5) will be charged ₹6.6 (~$0.08)/kVAh, and residential bulk (HV-6) at ₹6.80 (~$0.082)/kVAh.</p>
<p>Startup power under HV-7 will be charged at ₹9.10 (~$0.11)/kVAh with a demand charge of ₹200 (~$2.41)/kVA/month.</p>
<p>A new category, HV-11, has been introduced for EV charging with a single-part tariff of ₹6.32 (~$0.076)/kVAh.</p>
<p><strong>Wheeling and Open Access Charges</strong></p>
<p>CSERC has introduced wheeling charges of ₹0.29 (~$0.0036)/kWh for consumers on the 33 kV level and ₹0.85 (~$0.010)/kWh for those below the 33 kV level.</p>
<p>Distribution losses are set at 6% for 33/11 kV voltage levels and 10% for levels below 33 kV. Short-term open access users must pay ₹2,000 (~$24.10)/day to CSLDC.</p>
<p>The Commission set a cross-subsidy surcharge of ₹1.33 (~$0.016)/kWh for 220 kV, ₹0.94 (~$0.011)/kWh for 132 kV, ₹1.40 (~$0.017)/kWh for 33 kV and 11 kV, and ₹1.27 (~$0.015)/kWh for LT consumers.</p>
<p>Standby charges for open access users are ₹10.53 (~$0.12)/kWh up to the contract demand and ₹14.04 (~$0.16)/kWh beyond this level. Parallel operation charges for captive generators have increased to ₹0.15 (~$0.0018)/kWh from ₹0.13 (~$0.0016).</p>
<p><strong>Revenue Approvals</strong></p>
<p>Alongside consumer tariff changes, the Commission has finalized the aggregate revenue requirements (ARR) for all the state’s power utilities &#8212; Chhattisgarh State Power Generation Company (CSPGCL), Chhattisgarh State Power Transmission Company (CSPTCL), Chhattisgarh State Load Despatch Centre (CSLDC), and CSPDCL.</p>
<p>CSPDCL’s standalone ARR has been approved at ₹224.9 billion (~$2.71 billion), while the net ARR, including the revenue deficit, amounts to ₹256.3 billion (~$3.09 billion).</p>
<p>For transmission utility CSPTCL, the approved ARR is ₹13.46 billion (~$162.30 million), with monthly transmission charges of ₹1.49 billion (~$18.02 million). The short-term open access transmission charge has been fixed at ₹0.3445 (~$0.0041)/kWh, and transmission losses are pegged at 3%.</p>
<p>CSLDC’s net ARR is ₹242.3 million (~$2.92 million), after adjusting for a surplus of ₹9.8 million (~$118,000). System operation charges are ₹193.9 million (~$2.34 million), and intra-state market operation charges stand at ₹48.5 million (~$584,000).</p>
<p><strong>Other Financial Adjustments</strong></p>
<p>Consumers must pay ₹0.5 (~$0.006)/kWh for carbon reduction certification. Additional charges for availing green power range from ₹0.24 (~$0.0029)/kWh for wind to ₹4.43 (~$0.053)/kWh for hydro.</p>
<p>The fuel and power purchase adjustment surcharge will continue to be billed on a bi-monthly basis, starting with the new base rates for July 2025 consumption. Tax and duty charges are excluded from the tariff and remain payable in accordance with the state laws.</p>
<p>In April this year, CSERC <a href="https://www.mercomindia.com/chhattisgarh-regulator-approves-%E2%82%B93-50-kwh-as-tariff-for-310-mw-solar-project" target="_blank" rel="noopener">approved</a> a tariff of ₹3.50 (~$0.0409)/kWh for procuring 310 MW of solar power under the Pradhan Mantri Kisan Urja Suraksha Evam Utthaan Mahabhiyan (PM KUSUM) Component C.</p>
<p>Subscribe to Mercom’s real-time <a href="https://www.mercomindia.com/product/mercoms-renewable-energy-regulatory-updates" target="_blank" rel="noopener">Regulatory Updates</a> to ensure you don’t miss any critical updates from the renewable industry.</p>


Chhattisgarh Hikes FY 2026 Electricity Tariffs by 1.89% Across Categories


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					</table><p><strong>From: <a href="https://mercomcapital.com/funding-and-ma-roundup-ess-tech-raises-31-million/" target="_blank" rel="noopener">Mercom Capital Group</a></strong></p>
<p><strong>ESS Tech, a manufacturer of iron flow long-duration energy storage (LDES) systems for commercial- and utility-scale applications, has <a href="https://mercomcapital.com/iron-flow-battery-ess-tech-raises-million/" target="_blank" rel="noopener">closed</a> $31 million</strong> in insider-led funding measures. This funding enables the company to build its technical momentum for its LDES product, Energy Base, which has a 12.2-hour duration at rated power and 17.8 hours at reduced power. The product is focused on being produced completely in the U.S.</p>
<p><strong>Energy Storage developer Lightshift Energy has </strong><a href="https://mercomcapital.com/lightshift-energy-secures-40-million-in-corporate-credit-facility/" target="_blank" rel="noopener"><strong>closed</strong></a><strong> a $40 million corporate credit facility</strong>, provided by the institutional investment platform Aiga Capital Partners. The company plans to move a large portion of its pipeline into construction during the second half of 2025 and into 2026. This facility is expected to support its expanding portfolio by addressing interconnection and power purchase agreement security needs, as well as equipment deposits and other related costs.</p>
<p><strong>Ionic Mineral Technologies, an advanced battery materials producer, has <a href="https://mercomcapital.com/ionic-mineral-technologies-closes-29-million-series-b-funding/" target="_blank" rel="noopener">announced</a> the closing of a $29 million Series B funding.</strong> The oversubscribed funding round, which exceeded its initial $25 million target, saw participation from undisclosed investors. The funding will be used to expand the company&#8217;s 74,000-square-foot facility in Provo, Utah, accelerating the production of nano-silicon anode material to 1,000 metric tons annually, and supporting Gen-2 sample qualification with global battery OEMs and suppliers.</p>
<p><strong>Foresight Group, an infrastructure and private equity investment firm, has </strong><a href="https://mercomcapital.com/foresight-group-acquires-harmony-energy-income-trust/" target="_blank" rel="noopener"><strong>announced</strong></a><strong> the acquisition of Harmony Energy Income Trust (HEIT)</strong>, a developer of utility-scale battery energy storage projects. Foresight Energy Infrastructure Partners II, an energy transition fund managed by Foresight Group, has acquired a 49% stake, while a Foresight portfolio company, Blackmead Infrastructure Limited, acquired the remaining 51%.</p>
<p><strong>NLC India has granted an in-principle approval to </strong><a href="https://www.mercomindia.com/nlc-india-to-invest-%E2%82%B916-3-billion-in-renewables-subsidiary" target="_blank" rel="noopener"><strong>invest</strong></a><strong> up to ₹16.3 billion (~$190 million) in one or more tranches in its wholly owned subsidiary, NLC India Renewables (NIRL).</strong> This investment will be utilized to support NIRL’s renewable energy projects via capital expenditure funding. The investment will be made by subscribing to 100% equity shares in NIRL at their face value. The related-party transaction is subject to approvals from the Department of Investment and Public Asset Management and other relevant authorities.</p>
<p>For reports and trackers on funding and M&amp;A transactions in solar, energy storage, and smart grid sectors, click <a href="https://mercomcapital.com/clean-energy-reports/">here</a>.</p>
<p>Read last week&#8217;s funding <a href="https://www.mercomindia.com/funding-and-ma-roundup-opdenergy-secures-412-million" target="_blank" rel="noopener">roundup</a>.</p>


Funding and M&A Roundup: ESS Tech Raises $31 Million


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					</table><p>Reliance Infrastructure, JBM Renewables, PNC Infratech, SAEL Industries, and Navayuga Engineering Company <a href="https://www.mercomindia.com/reliance-sael-jbm-pnc-navayuga-win-nhpcs-1-2-gw-solar-plus-storage-auction" target="_blank" rel="noopener">won</a> NHPC’s 1.2 GW auction (Tranche-XI) to set up interstate transmission system-connected solar power projects with 600 MW/2,400 MWh energy storage systems. Reliance Infrastructure won 390 MW, JBM Renewables won 150 MW, PNC Infratech won 300 MW, and SAEL Industries won 300 MW at a tariff of ₹3.13 (~$0.0365)/kWh. Navayuga Engineering Company won 60 MW of the 200 MW quoted capacity under the bucket filling method at a tariff of ₹3.13 (~$0.0365)/kWh.</p>
<p>Solar project developers <a href="https://www.mercomindia.com/maharashtras-energy-banking-rules-could-limit-solar-capacity-additions" target="_blank" rel="noopener">fear</a> a significant drop in capacity additions among Maharashtra’s prosumers because of the Maharashtra Electricity Regulatory Commission’s (MERC) proposal to impose energy banking restrictions. The MERC tariff order has come under severe criticism from solar project developers as the energy banking rules can effectively reduce the savings generated from a solar project and disincentivize solar adoption for the Maharashtra State Electricity Distribution Company consumers.</p>
<p>Driven by the need to <a href="https://www.mercomindia.com/rooftop-solar-helps-hp-adhesives-cut-electricity-bill-by-65" target="_blank" rel="noopener">reduce</a> power costs and meet sustainability targets, an increasing number of companies in the commercial and industrial sector are adopting rooftop solar solutions. With clean energy usage becoming increasingly imperative for many businesses due to the savings on power bills and meeting their sustainability objectives, rooftop solar is a preferred choice for going green. Mumbai-based HP Adhesives, a company specializing in adhesives and sealants, has recently installed a 392.7 kW rooftop solar system at its manufacturing facility in Narangi Village in Maharashtra’s Raigad district to reduce its electricity bills.</p>
<p>The fifth edition of Mercom India’s two-day flagship event, the Mercom India Renewables Summit, will <a href="https://www.mercomindia.com/driving-renewable-energy-growth-through-technology-innovation" target="_blank" rel="noopener">feature</a> engaging conversations about the growth and future of renewable energy in the country. The Summit will be held on July 24-25, 2025, at the Hyatt Regency in New Delhi. The unprecedented growth of renewable energy is built on the foundation of evolving technology. There have been significant developments in innovation and adoption of solar module and cell technologies, solar trackers, and floating solar projects. The use of the Internet of Things and Artificial Intelligence is also gaining traction in the renewable energy industry.</p>
<p>The Ministry of New and Renewable Energy has <a href="https://www.mercomindia.com/mnre-invites-second-round-of-rd-proposals-under-green-hydrogen-mission/" target="_blank" rel="noopener">issued</a> the second call for Research and Development (R&amp;D) proposals under the National Green Hydrogen Mission. The R&amp;D program aims to accelerate the development of indigenous and cost-effective green hydrogen technologies across the production, storage, transportation, and utilization segments. Proposals must align with objectives focused on enhancing the affordability, safety, efficiency, and scalability of green hydrogen production, as well as its storage, transportation, and utilization. They must also promote collaborative research and development between academia, industry, and government institutions.</p>
<p>Bihar <a href="https://www.mercomindia.com/bihar-aims-to-install-22-gw-of-solar-by-fy-2030" target="_blank" rel="noopener">set</a> a target to install a cumulative 23.9 GW of renewable energy capacity, including 22 GW of solar, and 6 GWh of energy storage by the end of the financial year (FY) 2030, according to the Bihar Policy for Promotion of New and Renewable Energy Sources 2025. Renewable energy projects commissioned until FY 2030 will be eligible for incentives for 25 years or the lifespan of the power project, whichever is earlier. The state will also establish a single-window cell to expedite the projects’ time-bound approval.</p>
<p>Mumbai-based power infrastructure manufacturer Bajel Projects will <a href="https://www.mercomindia.com/bajel-to-expand-galvanizing-capacity-for-steel-module-mounting-structures" target="_blank" rel="noopener">invest</a> ₹1.7 billion (~$19.78 million) in more than doubling its galvanizing capacity at its Ranjangaon facility in Maharashtra. Galvanized steel is widely used in mounting structures and frames for solar panels, as well as in transmission infrastructure. The investment will also be utilized to enhance its production capabilities in transmission towers, monopoles, lighting towers, and high masts. The expansion initiative will increase the output of the facility from over 40,000 metric tons per annum to more than 100,000 MT per annum.</p>
<p>The Andhra Pradesh Electricity Regulatory Commission <a href="https://www.mercomindia.com/andhra-pradesh-simplifies-process-new-electricity-connections-150-kw" target="_blank" rel="noopener">fixed</a> connection charges for new or additional loads up to 150 kW to streamline electricity connections for small and medium consumers. These charges will only apply when the service location lies within 1 km of an electrified network. The maximum length of the service line must not exceed 1 km. The charges, categorized by type of service, are to be applied during the financial year 2025–26. Consumers whose load exceeds 100 HP, or 75 kW, may choose between LT or HT supply, up to 150 kW. Those who opt for LT supply for loads between 75 kW and 150 kW will be billed at the tariffs specified in the retail supply tariff (RST) orders.</p>
<p>Poland’s Energy Regulatory Office <a href="https://www.mercomindia.com/poland-16-twh-renewable-energy-latest-auctions" target="_blank" rel="noopener">awarded</a> 16 TWh of renewable energy for PLN5 billion (~$1.37 billion) across two auctions held this month. Of the 129 winning bids, 126 were for solar installations and three for wind. Tenders were issued for a capacity of 75.9 TWh with a maximum value of slightly over PLN31 billion (~$8.51 billion). The most competitive auction was for projects above 1 MW, which attracted 73 bidders and 98 bids. Solar dominated this segment with 95 bids. This auction offered 32.25 TWh with a budget of nearly PLN8.9 billion (~$2.22 billion).</p>
<p>Italy’s Ministry of Environment and Energy Security <a href="https://www.mercomindia.com/italy-eoi-17-6-gw-solar-projects-ferx-decree" target="_blank" rel="noopener">announced</a> it received nearly 1,500 expressions of interest (EoIs) under the country’s FERX decree, a new mechanism to support renewable energy projects utilizing energy sources such as solar and wind. The decree was launched in February this year. The Ministry said that solar energy, with approximately 1,400 EoIs for a total capacity of roughly 17.6 GW, drove the participation. This capacity is over twice the expected 8 GW capacity. Wind power projects received 90 EoIs for an approximate total capacity of 2.9 GW, aligning with the available quota of 2.5 GW.</p>
<p>Global solar inverter shipments <a href="https://www.mercomindia.com/global-solar-inverter-shipments-reach-589-gw-in-2024" target="_blank" rel="noopener">increased</a> by 10% in 2024, reaching a total capacity of 589 GW, according to the 2025 edition of Wood Mackenzie’s Global Solar Inverter Market Share report. The Asia Pacific region, including China, India, and Southeast Asia, accounted for 69% of all global shipments. China alone received 330 GW, more than half of the global demand and a 14% increase over 2023. This regional demand largely drove the global market growth. In contrast, the U.S. and Europe witnessed a contraction in inverter shipments. Nine of the top ten inverter vendors worldwide are headquartered in China.</p>
<p>Panasonic Energy, a Panasonic Group company, has <a href="https://www.mercomindia.com/panasonic-opens-ev-battery-manufacturing-plant-in-kansas" target="_blank" rel="noopener">announced</a> the opening of its new cylindrical lithium-ion battery factory for electric vehicles (EVs) in De Soto, in the U.S. state of Kansas. The company has also begun mass-producing its 2170 battery cells at the Kansas plant. It aims to achieve an annual production capacity of approximately 32 GWh. The factory is built on roughly 300 acres of land. Panasonic Energy aims to utilize the Kansas facility to increase its U.S.-based production capacity to approximately 73 GWh. The new facility will also help meet the demand from automotive consumers who are increasing their EV production.</p>


Daily News Wrap-Up: Winners of NHPC’s 1.2 GW Solar Plus Storage Auction


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					</table><p>As India accelerates the integration of renewable energy, the focus is shifting beyond solar module manufacturing to encompass a broader range of components critical for the sector’s long-term sustainability. The country needs to strengthen its local manufacturing base for inverters, storage systems, and balance-of-system (BoS) equipment to achieve true self-sufficiency in renewable energy.</p>
<p>This issue will be discussed in depth at the fifth edition of the <a href="https://www.mercomindia.com/event/renewables-summit-2025" target="_blank" rel="noopener">Mercom India Renewables Summit</a>, set to take place on July 24-25, 2025, at the Hyatt Regency, New Delhi.</p>
<p>A key session during the summit on July 25, titled “<strong>Strengthening India’s Renewable Ecosystem: Manufacturing Key Components Locally</strong>,” will address the emerging opportunities, policy direction, and technological advancements required to scale India’s domestic manufacturing ecosystem for renewable system components.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-scaled.jpg"><img loading="lazy" decoding="async" class="aligncenter wp-image-82009 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-scaled.jpg" alt="Solar Manufacturing Mercom Summit" width="2560" height="1578" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-scaled.jpg 2560w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-300x185.jpg 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-2000x1233.jpg 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-768x474.jpg 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-1536x947.jpg 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-2048x1263.jpg 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-650x401.jpg 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-624x385.jpg 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/ecosystem-600x370.jpg 600w" sizes="(max-width: 2560px) 100vw, 2560px" /></a></p>
<p>The panel will feature experts such as Amol Anand, CEO at <a title="https://www.loomsolar.com/" href="https://www.loomsolar.com/" target="_blank" rel="noreferrer noopener">Loom Solar</a>, Bhupendra Singh Rawat, CEO at <a title="https://dhashtec.com/" href="https://dhashtec.com/" target="_blank" rel="noreferrer noopener">Dhash PV Technologies</a>, and Rahil Mehrotra, General Manager at <a title="https://www.jsw.in/steel" href="https://www.jsw.in/steel" target="_blank" rel="noreferrer noopener">JWS Steel</a>.</p>
<p>The 60-minute session will cover India’s high dependence on imports for inverters, battery storage systems, and BoS equipment, despite the country’s solar module production having witnessed significant investment and policy support.</p>
<p>The panelists will share their perspectives on the strategic importance of diversifying India’s clean energy manufacturing beyond modules, government support for manufacturing, and investments in research and development to localize production and improve technology transfer.</p>
<p>The 2025 Summit features three side events: the Mercom India Awards, the Cleantech Startup Pitch Competition, and the inaugural Renewable Energy Exhibition.</p>
<p>The <a href="https://www.mercomindia.com/awards" target="_blank" rel="noopener">Mercom India Awards</a> will honor outstanding achievements and the latest technological innovations driving the transformation of India’s energy markets.</p>
<p>The <a href="https://www.mercomindia.com/event/renewables-summit-2025/exhibitor" target="_blank" rel="noopener">Renewable Energy Exhibition</a> will provide a platform for the top industry players and decision-makers to showcase their latest products and services.</p>
<p>The <a href="https://www.mercomindia.com/event/startup" target="_blank" rel="noopener">Startup Pitch Competition</a> will offer startups the opportunity to showcase their innovative technology solutions to potential investors.</p>
<p><a href="https://www.mercomindia.com/event/renewables-summit-2025/register" target="_blank" rel="noopener">Register now</a> to attend the event and contribute to shaping the future of India’s vibrant renewable energy landscape.</p>


Components Manufacturing Key to Renewable Energy Sector Growth


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					</table><p>From: <a href="https://mercomcapital.com/project-finance-brief-ib-vogt-secures-solar-project/" target="_blank" rel="noopener">Mercom Capital Group</a></p>
<p><strong>ib vogt, a solar and energy storage project developer, </strong><a href="https://mercomcapital.com/ib-vogt-secures-80-million-financing-for-99-mw-solar-project/" target="_blank" rel="noopener"><strong>secured</strong></a><strong> PHP4.49 billion (~$80 million) in green project financing from HSBC for the development of the 99 MWp Tantangan solar</strong> project, located in South Cotabato, Philippines. Construction on the project commenced in the first quarter of 2025, with commercial operation scheduled for the second quarter of 2026. This project is reportedly the company’s second solar project in Mindanao.</p>
<p><strong>AMPYR Australia, a part of AMPYR Energy, a renewable energy group, announced the financial </strong><a href="https://mercomcapital.com/ampyr-secures-financing-for-300-mw-wellington-stage-1-battery-storage-project/" target="_blank" rel="noopener"><strong>closure</strong></a><strong> of the 300 MW/600 MWh Wellington Stage 1 battery energy storage project</strong> located in New South Wales. Commonwealth Bank of Australia, Bank of China, Hongkong and Shanghai Banking Corporation, Rabobank, Société Générale, and United Overseas Bank provided more than AU$340 million (~$221 million) in financing for the project.</p>
<p><strong>Green Genius, a renewable energy company, <a href="https://mercomcapital.com/green-genius-secures-43-million-financing-for-78-mw-solar-project/" target="_blank" rel="noopener">signed</a> a €36.66 million (~$42.94 million) financing agreement with RGREEN INVEST</strong>, a France-based independent investment management company. The financing will be used for the construction of the 78 MW Šeduva solar project in Lithuania. Once completed, the project is scheduled for connection to Litgrid’s transmission network for the spring of 2027. The financing is provided through INFRABRIDGE IV, one of RGREEN INVEST’s debt funds, specializing in offering flexible, long-term financing solutions for large-scale renewable energy projects across Europe.</p>
<p><strong>Lydian Energy, an independent power producer specializing in the development of solar and energy storage projects, <a href="https://mercomcapital.com/lydian-energy-secures-financing-battery-projects/" target="_blank" rel="noopener">announced</a> the financial closure</strong> of $233 million in project financing to support the development of three battery energy storage projects in Texas. ING and KeyBank backed the financing. ING served as the lender for the Pintail and Crane projects, representing a combined investment of approximately $139 million. KeyBank provided a $94 million financing package for the 150 MW/300 MWh Headcamp project in Pecos County.</p>
<p>Click <a href="https://mercomcapital.com/clean-energy-reports/" target="_blank" rel="noopener">here</a> for reports and trackers on funding and M&amp;A transactions in solar, energy storage, and smart grid sectors.</p>
<p>Read last week’s project finance <a href="https://mercomcapital.com/project-finance-brief-contourglobal-energy-storage-projects/" target="_blank" rel="noopener">brief</a>.</p>


Project Finance Brief: ib vogt Secures $80 Million for 99 MW Solar Project


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					</table><p>The recent <a href="https://www.mercomindia.com/mcx-to-start-electricity-futures-trading-from-july-10-2025" target="_blank" rel="noopener">launch</a> of electricity derivatives by the Multi Commodity Exchange of India (MCX) and the National Stock Exchange (<a href="https://www.nseindia.com/" target="_blank" rel="noopener">NSE</a>) is a long-awaited reform, with a history spanning over 15 years.</p>
<p>In 2010, an attempt to launch electricity derivatives led to a significant legal dispute between key regulatory bodies, the Central Electricity Regulatory Commission (CERC) and the Securities and Exchange Board of India (SEBI). Consequently, the CERC&#8217;s Power Market Regulations 2010 completely prohibited the use of financial derivatives. The primary reason for this was that power sector reforms were in their early stages, and with electricity being an essential commodity, policymakers were cautious about potential misadventures in such a market.</p>
<p>However, times have significantly changed. Both regulators reached a consensus in 2020, and further approval from the Supreme Court in 2021 paved the way for the introduction of electricity derivatives.</p>
<p>The current outcome is that any contracts involving the physical delivery of electricity will be regulated by CERC, while all other contracts will be regulated by SEBI.</p>
<p>The launch of electricity derivatives is an important initiative for power sector stakeholders, including independent power producers, distribution companies, and bulk electricity offtakers.</p>
<p>Before we delve into use cases, let&#8217;s understand two very important parameters of electricity markets:</p>
<ul>
<li>Electricity is simply the movement of electrons. It cannot be stored (unless very expensive storage is involved), hoarded, or stockpiled. Hence, electricity prices are purely a function of demand and supply on a 15-minute block basis. This is the only commodity where speculation or price manipulation is extraordinarily difficult.</li>
</ul>
<ul>
<li>Electricity prices in India are subject to unprecedented volatility. While electricity prices in markets are highly subdued during solar hours (generally in the range of ₹2 (~$0.023)/kWh-₹3 (~$0.035)/kWh, prices can touch peaks (even as high as ₹8 (~$0.093)/kWh-₹10 (~$0.12)/kWh on the same day during peak timings or even at night nowadays. Such volatility in an essential commodity is highly undesirable.</li>
</ul>
<p>Electricity derivatives provide a very important instrument to counter this volatility. For example, when financial investors are able to square off their position at a higher rate based on the 24-hour cycle, they will be willing to pay a high price for electricity derivatives during solar hours, effectively lifting the price of physical power during those hours.</p>
<p>Similarly, during peak times, when they are squaring off their positions for a profit, they will be willing to sell the contract at a lower rate than physical power, which will bring down the price during peak hours.</p>
<p>Accordingly, when derivative markets are deep enough, it will significantly impact physical power prices, ultimately benefiting the sector.</p>
<p>With this understanding, let&#8217;s look at broad use cases for various stakeholders in the electricity markets:<strong> </strong></p>
<p><strong>Independent Power Producers (IPPs)</strong></p>
<p>For many years, IPPs have been exploring ways to finance merchant projects. However, financing for such projects is difficult as lenders are concerned about long-term revenue visibility (given price volatility). Many bulk electricity offtakers with net-zero targets have similar concerns.</p>
<p>Recently, CERC <a href="https://www.mercomindia.com/cerc-releases-draft-virtual-power-purchase-agreement-guidelines">issued</a> draft guidelines for the Virtual Power Purchase Framework. These contracts essentially shift (partially or fully) the market risk for sustainability offtakers. Electricity derivatives provide them with a much-needed instrument to hedge their market positions.</p>
<p>For example, say a sustainability offtaker executes a VPPA for 100 MW at a strike price of ₹3 (~$0.035)/kWh. With electricity derivatives, the offtaker can essentially hedge the entire market risk by taking a short position for 100 MW in derivatives at ₹3 (~$0.035)/kWh.</p>
<p>The following table illustrates the broad framework for such a transaction: <a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-81992 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1.png" alt="" width="751" height="244" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1.png 751w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1-300x97.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1-650x211.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1-624x203.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/07/electricity-deriv-1-600x195.png 600w" sizes="(max-width: 751px) 100vw, 751px" /></a></p>
<p>By taking the opposite position in the derivative market, an IPP or offtaker is essentially able to nullify any market risks in the contract.<strong> </strong></p>
<p><strong>Distribution Companies (DISCOMs)</strong></p>
<p>DISCOMs act as both sellers and buyers in physical power markets; however, they are price takers without any ability to influence the price. Especially during solar hours, most DISCOMs offload electricity at whatever prices the market is willing to pay, and then become net buyers during peak and nighttime hours.</p>
<p>This results in significant losses to the public as the cost is passed through to ordinary electricity users.</p>
<p>However, with electricity derivatives, DISCOMs may enter into block deals with a financial investor to mitigate price risks. For instance, a DISCOM  has a surplus of 100 MW during the daytime, which it intends to sell at ₹3 (~$0.035)/kWh, and becomes a net purchaser of 100 MW during peak time, which it intends to purchase at ₹6 (~$0.070/kWh. Simultaneously, a financial investor believes that daytime power should be ₹3.50 (~$0.041)/kWh and peak time power should be ₹5.50 (~$0.064)/kWh. This DISCOM may enter into a block deal for an equivalent amount of derivatives, for instance, at a rate of ₹3.25 (~$0.038)/kWh during the daytime and ₹5.75 (~$0.067)/kWh during peak time. This will enable both parties to gain ₹0.25 (~$0.0029/kWh.</p>
<p><strong>Bulk Electricity Offtakers</strong></p>
<p>Currently, most bulk electricity offtakers face a significant challenge in obtaining visibility into electricity volume clearance when purchasing electricity from exchanges. While bid or breakeven prices are known, volume clearances are subject to demand and supply during each 15-minute block. When the price discovered is higher than the bid price, volumes are not cleared, and the offtaker purchases the shortfall quantity from the DISCOM. If the price discovered is lower than the bid price, the difference is the net profit for the offtaker.</p>
<p>Using financial derivatives, bulk electricity offtakers may largely target monthly savings. They can take a buy position based on uncleared volume from the start of the month, with the premise that notional losses for uncleared volume are made good through profits made in the derivative market. The above provides a broad overview of the potential uses of derivatives. As the derivatives market deepens, a new wave of innovations is likely to drive the development of many new products. These innovations ultimately reduce price volatility and provide a stable market framework for all stakeholders in the sector.</p>
<p><strong>The views and analysis presented in this article are solely those of the author.</strong></p>
<p>(<em>The author </em><em>Aditya Malpani is Senior Director &amp; Regional Head &#8211; West, AMPIN Energy Transition</em>)</p>


Electricity Derivatives: A Gamechanger for Indian Power Market Stakeholders


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					</table><p>The Ministry of New and Renewable Energy (<a href="https://mnre.gov.in/" target="_blank" rel="noopener">MNRE</a>) has issued the second call for Research and Development (R&amp;D) proposals under the National Green Hydrogen Mission.</p>
<p>The R&amp;D program aims to accelerate the development of indigenous and cost-effective green hydrogen technologies across the production, storage, transportation, and utilization segments</p>
<p>Applications must be submitted by August 21, 2025.</p>
<p>The first call for proposals was <a href="https://www.mercomindia.com/mnre-calls-for-proposals-to-set-up-rd-facilities-for-green-hydrogen" target="_blank" rel="noopener">issued</a> in March 2024.</p>
<p>Proposals must align with objectives focused on enhancing the affordability, safety, efficiency, and scalability of green hydrogen production, as well as its storage, transportation, and utilization. They must also promote collaborative research and development between academia, industry, and government institutions.</p>
<p>Proposals must support the scaling up and commercialization of promising technologies by leveraging policy and regulatory mechanisms to drive growth and innovation.</p>
<p>The key areas for R&amp;D include innovations in hydrogen production (non-biomass, including cost-efficient electrodes and membranes, as well as biomass routes such as modular reactors and purification methods), storage, and transportation methods (materials with high storage capacity, low-cost compressed storage, pipeline feasibility, and liquid organic hydrogen carrier).</p>
<p>Proposals should address application development, including hydrogen refueling stations, compression technologies, unmanned aerial vehicles, hydrogen-based power solutions, as well as safety-related components such as leak detectors and sensors.</p>
<p>Entities that can submit proposals include academic institutions, R&amp;D institutions, government institutions, public sector undertakings, private research institutions, and industries possessing adequate infrastructure for executing R&amp;D projects in green hydrogen technologies.</p>
<p>The proposals must define the initial and target technology readiness levels (TRLs). Initial TRL must be four or higher, and target TRLs must be seven or above.</p>
<p>Proposals must include defined objectives, deliverables, timelines, national/international benchmarking, curriculum vitae of project investigators, and the roles of all partners in any applying consortium. Industrial partners are expected to contribute financially and technically. They must demonstrate R&amp;D capability and commercialization potential.</p>
<p><strong>Funding </strong></p>
<p>Academic, governmental, and non-profit institutions can receive up to 100% funding. Private institutions and industries may receive up to 80% of the project cost. In academia-industry consortia, academic institutions can receive full funding for their share, while industry partners are expected to contribute financially and technically, including in-kind.</p>
<p>Overhead expenses are limited to 8% of the costs for projects costing up to ₹10 million (~$116,279). For projects between ₹10 million (~$116,279) and ₹50 million (~$581,395), the overheads will be ₹1.5 million (~$17,442) or 8% of the project, whichever is lower.</p>
<p>For projects exceeding ₹50 million (~$581,395), the overheads are ₹1.5 million (~$17,442) plus 2% of the amount exceeding ₹50 million (~$581,395). For projects between ₹100 million (~$1.16 million) to ₹200 million (~$2.33 million), the expenses are ₹2.5 million (~$29,070) plus 1.5% of the amount exceeding ₹100 million (~$1.16 million).</p>
<p>For projects above ₹200 million (~$2.33 million), ₹4 million (~$46,512) plus 1% of the amount exceeding ₹200 million (~$2.33 million). Travel expenses are capped at ₹300,000 (~$3,488)/annum/project for domestic travel. Contingency expenditure can be up to 10% of the total project cost.</p>
<p>In July 2023, the MNRE <a href="https://www.mercomindia.com/mnre-%E2%82%B94-billion-roadmap-national-green-hydrogen-mission" target="_blank" rel="noopener">unveiled</a> the ₹4 billion (~$48.12 million) R&amp;D Roadmap for the National Green Hydrogen Mission, aiming to develop an ecosystem that facilitates the commercialization of green hydrogen.</p>


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