Unsigned PSAs of 7GW pose risk to RE targets: Crisil

Mumbai Delays in power supply agreements (PSAs) for seven GigaWatt (GW) of the bid out renewable energy projects is one of the main reasons that may lead to 35 per cent shortfall in 160 GW renewable energy capacity target set for calendar 2022-end, ratings agency Crisil said on Thursday.

This delay may, however, not impact the credit profile of developers since implementation and debt drawdowns have not yet started and project viability remains largely intact, supported by benign module price trajectory over past 18 months, it added.

These projects were auctioned by central counterparties - the Solar Energy Corporation of India (Seci) and the National Thermal Power Corporation (Ntpc) - and are awaiting PSAs with the ultimate counterparties, the state distribution companies (discoms).