New Delhi, May 6: The Uttar Pradesh Cabinet has approved the signing of a power purchase agreement (PPA) between the Uttar Pradesh Power Corporation Limited (UPPCL) and Adani Power Limited (APL) for the supply of 1,600 MW of power over a period of 25 years.

APL had secured the bid through a competitive bidding process conducted in October 2024.

The power will be supplied from a new plant that will be set up in Uttar Pradesh.

Uttar Pradesh had launched a tender to source power from a 1,600 MW thermal power plant to be set up in the state.

In February this year, Adani Saur Urja (LA) Limited, a wholly-owned subsidiary of Adani Green Energy, secured a major contract from UPPCL for energy storage capacity.

"Adani Saur Urja (LA) Limited, a Wholly-owned Subsidiary of the Company, has received a Letter of Award (LOA) from Uttar Pradesh Power Corporation Limited (UPPCL) for the procurement of 1,250 MW energy storage capacity from Pumped Hydro Storage Projects," Adani Green Energy had said in a regulatory filing.

Under the awarded contract, the annual fixed cost payable for the project is set at Rs 76,53,226 per MW per year, excluding taxes. The agreement will remain in effect for 40 years from the project's commercial operation date (COD), the company said in its filing.

The project, Panaura PSP, will be located in Uttar Pradesh's Sonbhadra district and is expected to be completed within the next six years.

India's clean energy goal necessitates the development of large utility-scale storage projects to integrate renewables into the grid and provide round-the-clock renewable energy.

Meanwhile, Adani Power reported a 21.4 per cent jump in consolidated continuing profit before tax (PBT) at Rs 13,926 crore in FY25, compared to Rs 11,470 crore in FY24, due to improved EBITDA and lower finance costs.

The Adani Group company registered a 10.8 per cent rise in consolidated continuing total revenues at Rs 56,473 crore in FY25 compared to Rs 50,960 crore in FY24, supported by higher sales volumes, offset partially by lower tariff realisation.

Continuing revenues exclude one-time prior period income recognition. Continuing EBITDA for FY25 grew 14.8 per cent to Rs 21,575 crore, according to the company.

For Q4 FY25, consolidated continuing total revenue was higher by 5.3 per cent at Rs 14,522 crore compared to Rs 13,787 crore in Q4 FY24, primarily due to higher volume, offset by lower tariff realisation.

In a significant achievement, the company reached 102.2 billion units (BU) of power generation in FY25, up by 19.5 per cent from 85.5 BU in FY24. (IANS)

Argus English | argus english | Odisha Latest News, Breaking News, Trending News, Live TV