ReNew Energy Global Plc has secured US$331 million in debt from the Asian Development Bank (ADB) to fund a 2.8 GW hybrid renewable complex in Andhra Pradesh, India. The financing is part of a larger US$477 million package, with the remaining US$146 million to be arranged by ADB through other lenders. The project will combine 837 MWp of wind and solar generation with a 415 MWh battery energy‑storage system (BESS) and is designed to deliver 300 MW of peak power, generating an estimated 1,641 GWh of clean energy annually.
The integrated design is a first for ADB, which has traditionally financed separate generation assets. By bundling wind, solar and storage, the project addresses grid reliability and provides dispatchable power that can respond to peak demand. The 415‑MWh BESS will smooth output fluctuations, allowing the 837‑MWp array to deliver a steady 300 MW of peak power and meet the state’s growing electricity needs. This combination also positions ReNew to capture higher value from the Indian power market, where renewable energy with storage is increasingly favored by regulators and utilities.
The debt structure reflects ADB’s commitment to local currency financing and its private‑sector investment arm. Up to US$291 million of the loan is in Indian rupees, sourced from ADB’s ordinary capital resources, while up to US$40 million comes from the ADB‑administered Leading Asia’s Private Infrastructure Fund 2 (LEAP 2). The remaining US$146 million will be sourced from other lenders, ensuring a diversified funding base. ADB’s involvement signals confidence in the project’s technical and financial viability and underscores its strategy to support integrated renewable solutions with storage.
ReNew’s FY26 guidance remains unchanged, targeting the construction of 1.6–2.4 GW of new capacity. The Andhra Pradesh project is a key milestone toward that goal, representing a significant portion of the planned expansion. The financing also strengthens ReNew’s balance sheet, improving leverage ratios and freeing capital for future investments, including the company’s ongoing solar‑module manufacturing expansion supported by British International Investment. The company’s focus on cost discipline and capital allocation is expected to sustain margin growth as it scales its hybrid projects.
Sumant Sinha, Founder, Chairman and CEO, highlighted the partnership with ADB as a “game‑changer” that “unlocks dependable clean power, stabilizes the grid, and advances the country’s renewable energy sector.” He added that the project “demonstrates that renewable energy can now be delivered competitively at grid scale as per peak power demand requirements.” These comments reinforce ReNew’s strategy of leveraging in‑house manufacturing and EPC capabilities to deliver large‑scale, integrated renewable assets while maintaining disciplined capital discipline.
The financing marks a strategic milestone for ReNew and ADB. It is the first peak‑power renewable project financed by ADB, illustrating the bank’s shift toward integrated solutions that combine generation with storage. The project’s scale, combined with ReNew’s manufacturing expansion and strong ESG credentials, positions the company to capture a growing share of India’s renewable market, which is expected to reach 500 GW by 2030 under the country’s decarbonisation agenda. The deal also strengthens ReNew’s long‑standing relationship with ADB, potentially paving the way for future collaborations on similar hybrid projects across India.
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