The Asian Development Bank (ADB) and Fourth Partner Energy Private Limited (Fourth Partner) inked a long-term loan agreement for up to Rs 120 crore (about USD 14.7 million) to build and manage a 25-megawatt solar photovoltaic power plant to increase clean and low-cost energy supply.

The power plant, located in Tirunelveli district in Nadu, is expected to generate about 50.7 gigawatt-hours of electricity annually and will directly sell power to commercial and industrial users, as per an ADB release.

Fourth Partner is India’s one of the leading renewable energy solutions platforms.

India’s open-access renewable energy policy allows a group of consumers to purchase electricity directly from an independent power producer (IPP).

“Open access energy procurement can play an important role in businesses achieving their net zero emissions targets,” said ADB’s Private Sector Operations Department Director General Suzanne Gaboury.