Oyster Renewable Energy’s subsidiary, Oyster Green Hybrid Three, has received a loan worth ₹1,844 crore to finance its hybrid power project in Madhya Pradesh.
The company has achieved the financial closure from Union Bank of India to build a 342 MW solar energy facility, making it one of the largest debt financings for a hybrid renewable project in the state, Oyster Renewable Energy said in a press release on Monday.
Project financing details
The financing fulfilled by the Union Bank of India has a long tenure of around 20 years. Through it, the company aims to bridge the gap between industrial demand and sustainable energy supply.
“This project demonstrates the future of round-the-clock energy in India, Reliable Green power that fuels industrial growth while advancing national climate goals,” said Siddharth Bhatia, the Managing Director of Oyster Renewable Energy.
Project scope and connectivity
The project will feature a co-located solar-wind facility, meaning the solar and wind generation assets will be situated together. It will be connected to the Inter-State Transmission System (ISTS) grid to ensure reliable and efficient power transmission of the power generated, the company said in a statement.
Oyster has also finalised a 25-year power purchase agreement (PPA) for the electricity generated. This agreement is under captive power norms with a leading process industry unit.
The 342 MW hybrid project is expected to deliver significant environmental benefits, including the displacement of nearly 8 lakh tonnes of Carbon Dioxide (CO₂) emissions annually. This goal aligns with India’s decarbonisation targets.
Decarbonisation efforts in India
India has been increasingly making efforts to reduce its carbon footprint. At the recent Mint Sustainability Summit in New Delhi, Sachin Bajaj, the chief financial officer of Gentari India, highlighted the urgency of decarbonisation, warning that floods and landslides in Uttarakhand, Jammu and Kashmir, Himachal Pradesh, and Punjab are the cost of inaction.
A Climate Risk Index 2025 by Germanwatch revealed that India reported at least 80,000 deaths and economic losses worth $180 billion over the past three decades due to climate change-induced extreme weather events, accounting for more than 10 per cent of global fatalities.
