Case Study Details
About The Project
Rewa Ultra Mega Solar Park – A Landmark Renewable Energy Project in India
Project Overview
Launched as a pioneering initiative, the Rewa Ultra Mega Solar Park marked a significant milestone in India’s renewable energy landscape. Developed by RUMSL with strategic transaction advisory support from IFC, the project sought to accelerate clean energy adoption while introducing innovative tendering practices and financial structuring.
Key Innovations and Achievements
Cross-State Power Supply
First solar project in India to supply energy outside its home state—Delhi Metro Rail Corporation (DMRC) became the first interstate customer, enabling carbon-neutral public transport.
Record-Low Tariffs
Achieved a benchmark tariff of INR 2.97/kWh—the lowest in India at the time—without viability gap funding, setting a new precedent in solar auction competitiveness.
Robust Infrastructure & Payment Security
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Land and grid connectivity provided upfront, reducing developer risk.
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Strong payment security, including three-tier payment guarantees, ensuring timely and reliable financial flows to developers.
Tender and Financing Structure
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Competitive Bidding Process: The transparent and well-structured bidding led to a fair and viable tariff discovery, attracting major solar developers.
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Innovative Legal Framework: Contracts included clearly defined dispute resolution mechanisms, risk-sharing clauses, and performance guarantees, boosting investor confidence.
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Financial Architecture: IFC's involvement ensured the project design was bankable and aligned with international best practices, facilitating financing and long-term viability.
Impact & Outcomes
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Catalyst for Future Projects: The success of Rewa influenced subsequent solar parks and helped transform India's renewable auction landscape.
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Replicable Model: Served as a blueprint for other ultra-mega solar parks across the country, including those in Maharashtra, Rajasthan, and Gujarat.
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Environmental Benefits: Significant reduction in carbon footprint for Delhi Metro, estimated to save over 1.5 million tons of CO₂ annually, reinforcing India's clean energy ambitions.
