India’s Lloyds Metal and Energy Limited (LMEL) has signed two power purchase agreements (PPAs) to source solar power from HR Godavari Private Limited, a special purpose vehicle (SPV) of Hinduja Renewables Energy Private Limited, a statement issued by LMEL said on Thursday, May 22.
Under the agreement, LMEL will source 16.05 mega watt peak (MWp) and 70 MWp from the supplier.
The agreement also provides for LMEL to pick up a 26 percent equity stake in HR Godavari and this is in line with electricity rules governing captive power generation, the statement said.
The solar power sourcing will enhance LMEL’s renewable power usage by its various operations and reduce carbon footprint aligned with its ESG goals, it added.
LMEL, incorporated in 1977, is a major iron ore miner in Maharashtra and a key direct reduced iron (DRI) producer with a capacity of 340,000 mt per year. The company operates a 34 MW waste heat recovery-based power plant and supplies to markets across India.
