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SECI Invites Bids to Raise INR 660 Cr Term Loan for 200 MW Dhar Solar Project in Madhya Pradesh

Solar Energy Corporation of India has invited bids from banks and financial institutions to raise INR 660 crore in term loans for its 200 MW solar project in Dhar, Madhya Pradesh, under CPSU Scheme Phase-II. Bid submission ends on April 24, 2026.

April 11, 2026. By Mrinmoy Dey

Solar Energy Corporation of India (SECI) has floated a request for proposal (RfP) to scheduled commercial banks and financial institutions for raising INR 660 crore as a term loan for developing a 200 MW solar PV power plant in Dhar, Madhya Pradesh.

The Dhar solar project is being developed under the CPSU Scheme Phase-II as part of a 1,200 MW allocation that also includes Ramagiri in Andhra Pradesh and Radhanesda in Gujarat. It was approved by the SECI Board in its 99th meeting in October 2025. Power from the project will be supplied to Madhya Pradesh Power Management Company under a 25-year PPA at a tariff of INR 2.45/kWh.

The Dhar solar project has an estimated cost of INR 944.78 crore. After viability gap funding and solar subsidies of INR 129.44 crore from the Ministry of New and Renewable Energy (MNRE), the net cost stands at INR 815.34 crore. SECI plans to finance the project at an 80:20 debt-equity ratio, with flexibility up to 70:30 based on financing conditions. Equity will be met through internal accruals, while about INR 652.27 crore of debt will be raised via the proposed term loan.

For the project, Solar Energy Corporation of India has secured around 460 hectares of land across Gadi, Rajod, and Nawapada villages in Dhar district. It has also obtained in-principle 220 kV grid connectivity from the MPPTCL Badnawar substation, enabling future power evacuation readiness.

Key packages have already been awarded, with FS India Solar Ventures and Amar Infrastructure Ltd handling the supply of solar modules and balance of system components. The project is scheduled to achieve commercial operation by May 22, 2027.

The minimum amount to be offered by the Bank will be INR 150 crore and multiples of INR 10 crore thereafter.

The last date for submission of the proposal is April 24, 2026.

The loan will have a total tenure of 20 years, a 2-year moratorium, and an 18-year repayment period.

While the principal will be repaid on a half-yearly basis, interest will be paid monthly. “Interest rate may be linked with any benchmark rate. Evaluation will be based on the least overall cost of borrowing, including the spread over the benchmark. Benchmark and spread need to be specified separately,” stated the RfP document, further adding that the reset period cannot be less than six months.

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