Acme Solar secures Rs 2,646.64 crore funding for 450MW FDRE project from REC Ltd

What Acme Solar announced

Acme Solar Holdings Limited filed a press‑release with the NSE on 16 July 2026 stating that it has secured Rs 2,646.64 crore of long‑term project financing from REC Ltd. The capital will be used to develop and construct the company’s ACME Greentech Seventh 450 MW/1800 MWh Assured Peak Power (FDRE) project. REC Ltd will act as the sole financer for a period of 20 years. In parallel, Acme Solar has signed a 25‑year Power Purchase Agreement (PPA) with SJVN Limited at a tariff of INR 6.74 per unit.

Funding details

• Financier: REC Ltd, a leading renewable‑energy financing arm of the Indian government’s Renewable Energy Corporation.
• Amount: Rs 2,646.64 crore (approximately USD 317 million at prevailing rates).
• Tenure: 20 years of long‑term project funding, structured to match the life‑cycle of the solar‑plus‑storage asset.
• Purpose: The entire sum is earmarked for the development, engineering, procurement, construction and commissioning (EPCC) of the 450 MW solar capacity and the 1800 MWh Battery Energy Storage System (BESS).
• Security: The funding is tied to the PPA with SJVN, providing a predictable cash‑flow stream that underpins the loan’s repayment schedule.

Project specifics

The ACME Greentech Seventh Assured Peak Power Project is an integrated renewable‑energy complex that blends multiple technologies:

• Solar capacity: 450 MW of photovoltaic generation, expected to deliver high capacity utilisation factor (CUF) due to the company’s in‑house EPC expertise.
• Battery storage: 1800 MWh of BESS, enabling firming of solar output, peak‑shaving and grid‑balancing services.
• FDRE model: The “Firmed Distributed Renewable Energy” (FDRE) framework guarantees a minimum dispatchable power output, enhancing predictability for the off‑taker.
• Off‑taker: SJVN Limited, a major hydro‑power producer, has contracted the entire output at INR 6.74/kWh for 25 years, providing a long‑term revenue base.
• Location: The project is sited in Gurugram, Haryana, leveraging existing transmission infrastructure and proximity to load centres.

Company background

Acme Solar Holdings Limited is an integrated renewable‑energy player with a diversified portfolio that spans solar, wind, storage, FDRE and hybrid solutions. As of the filing date, the company’s total contracted capacity amounts to 8,070 MW, of which 2,990 MW is operational and ~3.3 GWh of BESS is already in service. Under construction, Acme holds contracts for 5,080 MW (including ~18 GWh of BESS), and its pipeline of PPAs under construction totals 3,580 MW. The firm operates an in‑house EPC and O&M division, allowing it to control project timelines, costs and performance metrics such as CUF and operating margins.

Key facts at a glance

Why this matters for investors

The financing arrangement provides Acme Solar with a non‑dilutive source of capital, meaning existing shareholders are not subject to immediate equity dilution. The 20‑year loan aligns with the 25‑year PPA, ensuring that cash inflows from the contracted tariff can comfortably service debt obligations. Moreover, the FDRE structure enhances the project’s bankability by delivering firmed, dispatchable power, a feature increasingly valued by utilities seeking grid stability.

From a portfolio perspective, the new 450 MW asset adds to Acme’s strategic shift toward hybrid solar‑storage solutions, complementing its existing 5,080 MW under‑construction pipeline. The sizeable funding also signals confidence from REC Ltd, a government‑linked financier, potentially easing future access to capital for subsequent projects.

Investors should note that the filing does not disclose the exact impact on the company’s balance sheet, such as debt‑to‑equity ratios or interest rates. Consequently, while the financing is material, the precise financial implications will become clearer once the company releases its next quarterly results or a detailed financing note.

Conclusion

Acme Solar’s Rs 2,646.64 crore funding from REC Ltd marks a significant step in scaling its FDRE portfolio, backed by a long‑term PPA with SJVN at a stable tariff. The non‑dilutive nature of the financing and the firmed‑output model are likely to strengthen the company’s project pipeline and cash‑flow visibility. Final accounting treatment and any regulatory approvals related to the loan remain to be disclosed in future filings.