New Delhi: State-run power producer NHPC Ltd has proposed the development of a 1,200 MW solar park in Uttar Pradesh’s Jalaun district, with an estimated investment of Rs 796.9 crore.
The solar park will be implemented through Bundelkhand Saur Urja Ltd. (BSUL), a joint venture between NHPC and the Uttar Pradesh New & Renewable Energy Development Agency (UPNEDA).
The project is part of the central government’s “Ultra Mega Renewable Energy Power Parks” (UMREPP) scheme, specifically under Mode 8 of the Ministry of New and Renewable Energy (MNRE) guidelines.
Breakup of Investment
According to a regulatory filing, the total estimated cost includes Rs 42.7 crore towards interest during construction and Rs 239.1 crore as NHPC’s equity infusion in BSUL. The company aims to fund the project partly through internal resources and largely through borrowings.
In March 2025, NHPC’s board approved a borrowing plan for FY 2025–26 to support ongoing and upcoming projects. The plan allows the company to raise up to Rs 6,300 crore in debt. This includes the option to issue redeemable non-convertible debentures (NCDs) secured or unsecured through private placements. NHPC may also explore term loans or external commercial borrowings in phases.
Part of Larger Energy Strategy
The proposed solar park aligns with NHPC’s broader goal of expanding its renewable energy portfolio beyond hydropower. It also supports the government’s push to increase the share of renewables in the energy mix and promote public-private partnerships for infrastructure development.
With the Bundelkhand region identified as a key solar zone due to high irradiation levels and available land, the project could help address regional energy demands while contributing to national sustainability targets.
The timeline for the project execution and commissioning has not been disclosed.
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