Singapore-based renewable energy company Vena Energy has achieved the financial closure of the Gudadur hybrid project, a 176 MW wind-solar hybrid project in Karnataka.

The project comprises 48 MW of solar capacity and 128 MW of wind capacity and is expected to begin commercial operation in the fourth quarter of 2023. Upon completion, the Gudadur hybrid project will likely generate enough clean energy to meet the annual electricity needs of over 500,000 households and reduce greenhouse gas emissions by 73,688 tons compared to thermal generation.

The financing arrangement is backed by five lead arrangers — Hongkong and Shanghai Banking Corporation Limited (HSBC), BNP Paribas Bank, Mizuho Bank (Mizuho), Sumitomo Mitsui Bank Corporation (SMBC), and Axis Bank.

In this arrangement, BNP Paribas, Mizuho, and SMBC served as green loan coordinators, HSBC provided support as the account and modeling bank, and Axis Bank acted as the lender’s agent.

“The Gudadur hybrid project combines the benefits of solar and wind energy to increase the power system efficiency and reduce the need for grid expansion. By co-locating solar and wind generation systems on the same site, the project generates renewable energy throughout the day and night, making it a cost-effective solution for decarbonizing India’s economy. This approach not only reduces carbon emission but also lowers the levelized cost of energy (LCOE), which makes it an attractive option for sustainable development and a powerful catalyst for India’s transition to a greener future,” said Nitin Apte, CEO of Vena Energy.

Last June, wind turbine manufacturer Siemens Gamesa had signed a pact with Vena Energy to supply its 3X platform wind turbines for a 133 MW project in the Koppal district of Karnataka.

Vena had secured a green loan of JP¥8.54 billion (~$63.28 million) to construct the 26 MW Kisarazu Shimogori Solar project in Japan. The project is aligned with the company’s Green Financial Framework.

Earlier, Vena Energy had signed its first sustainability-linked revolving credit facility of JPY52.8 billion (~$500 million) from eight lenders. The financers included BNP Paribas, Crédit Agricole CIB, DBS Bank, ING Bank, MUFG, Intesa, SMBC, and Mizuho.