The Solar Energy Corporation of India (SECI) has invited proposals from scheduled commercial banks and financial institutions for a term loan of up to ₹27.2 billion (~$289.6 million) to finance a 700 MW solar project at Radhanesda, Gujarat.

Bids must be submitted by May 14, 2026.

The total project cost is estimated at ₹38.47 billion (~$409.7 million), including ₹4.53 billion (~$48.24 million) in support from the Ministry of New and Renewable Energy through solar park subsidies and viability gap funding.

The project is being developed under the Central Public Sector Undertaking (CPSU) program, Phase II, and is scheduled to commence commercial operations on February 6, 2028. It will operate under a 25-year power purchase agreement.

The 700 MW project is part of SECI’s 1,200 MW allocation under the CPSU program. The allocation includes:

• 300 MW at Ramagiri in Andhra Pradesh, currently under construction with a scheduled completion date of June 30, 2026
• 200 MW at Dhar in Madhya Pradesh, expected to be commissioned by May 22, 2027
• 700 MW proposed at Radhanesda

Power generated from the Ramagiri and Dhar projects will be supplied to Madhya Pradesh Power Management Company. Power from the Radhanesda project will be supplied to Gujarat Urja Vikas Nigam at a tariff of ₹2.45 (~$)/kWh.

Bidders must offer a minimum loan of ₹5 billion (~$53.25 million), in multiples of ₹100 million (~$1.06 million) thereafter. Interest rates must be linked to benchmark rates and will be evaluated based on the lowest overall cost of borrowing, including the spread over the benchmark. The reset period for interest rates cannot be less than three months.

The loan must have a tenor of 18 years, including a moratorium period covering the 19-month construction phase and an additional year.

For project execution, the Gujarat government has allocated approximately 1,105 hectares (2,729.35 acres) of revenue land. Power evacuation will be carried out through a proposed 220 kV substation of Gujarat Energy Transmission Corporation.

Earlier this year, SECI invited quotations from scheduled commercial banks to invest ₹4.5 billion (~$49.603 million) in term/fixed deposits.