Government-owned SJVN has secured a green financing loan of ₹9.15 billion (~$111.2 million) from the Japan Bank for International Cooperation (JBIC) to construct two solar power projects in India.

The first project is the 90 MW Omkareshwar Floating Solar Power Project in Madhya Pradesh, and the second project is the 100 MW Raghanesda Solar Power Project in Gujarat.

The combined estimated cost of these projects is ₹12.9 billion (~$156.5 million).

JBIC, co-financed with private financial institutions in Japan, is financing these projects with a combined capacity to produce approximately 450 MU of electricity in their first year. These projects are expected to begin operation in 2023.

The loan will support SJVN’s renewable energy projects in India and promote environmentally sustainable development.

JBIC will provide 60% of the debt financing for these projects, while the remaining balance will be covered by Japanese commercial banks, namely MUFG Bank and San-in Godo Bank.

SJVN and JBIC have recently signed a ‘Facility Agreement’ under JBIC’s Global Action for Reconciling Economic Growth and Environmental Preservation (GREEN) program.

SJVN has set a target of generating 25 GW of power by 2030, with over 50% coming from solar and wind sources.

Last month, SJVN posted a profit of ₹2.87 billion (~$34.7 million) for the third quarter (Q3) of the financial year (FY) 2022-23, an increase of 22% year-over-year (YoY).

Earlier in January, the Cabinet Committee on Economic Affairs approved the 382 MW Sunni Dam hydroelectric project in Himachal Pradesh by SJVN. The project will be built at an estimated cost of ₹26.15 billion (~$315.6 million), including ₹138 million (~$1.6 million) as budgetary support from the Government of India.