REC sanctions record Rs 7,500 crore for Brookfield's 1,040 MW hybrid renewable project in Andhra Pradesh

Renewables

3rd November 2025, 10:41 AM

REC sanctions record Rs 7,500 crore for Brookfield's 1,040 MW hybrid renewable project in Andhra Pradesh

▶

Stocks Mentioned :

REC Limited

Short Description :

Rural Electrification Corporation (REC) has sanctioned a record Rs 7,500 crore funding for Brookfield's 1,040 MW hybrid renewable energy project in Kurnool, Andhra Pradesh. The project will consist of 400 MW of solar and 640 MW of wind capacity, with a total estimated cost of Rs 9,910 crore. This is the largest REC sanction ever granted to a private-sector project and is part of Brookfield's larger Rs 50,000 crore investment pipeline in Andhra Pradesh, aiming to establish the state as a renewable energy hub.

Detailed Coverage :

Rural Electrification Corporation (REC) has approved a significant Rs 7,500 crore funding for Brookfield's ambitious 1,040 MW hybrid renewable energy project located in Kurnool, Andhra Pradesh. This project is set to combine 400 MW of solar power generation with 640 MW of wind power generation, representing a substantial step towards cleaner energy production. The overall cost for this clean energy initiative is projected at Rs 9,910 crore.

This sanction is historic as it marks the single largest financial approval ever extended by REC to a private sector entity. The project is being developed under Evren, a dedicated clean-energy platform jointly established by Brookfield and Axis Energy. This initiative is a component of Brookfield's broader strategy in Andhra Pradesh, which includes an extensive pipeline of 8,000 MW renewable power projects, representing a total investment of Rs 50,000 crore. Evren has already secured over 3 GW of renewable power project capacity across the Kurnool and Anantapur districts.

Andhra Pradesh's IT Minister, Nara Lokesh, emphasized the state's growing prominence as a renewable energy hub, welcoming partnerships with global leaders like Brookfield to develop sustainable infrastructure. He highlighted the potential for job creation and enhanced energy security.

Impact This development is highly positive for the Indian renewable energy sector, signaling robust financial support for large-scale private projects. It is expected to accelerate the development of green energy infrastructure in Andhra Pradesh, attract further investment, and contribute to economic growth and job creation in the state. Rating: 8/10.

Difficult Terms: Hybrid Renewable Energy Project: A project that combines two or more renewable energy sources, such as solar and wind, to generate electricity, often to ensure a more consistent power supply. REC (Rural Electrification Corporation): A public sector undertaking that provides financial assistance and other services for the establishment and development of power projects, particularly in rural areas, and for promoting renewable energy. Brookfield: A global alternative asset manager involved in real estate, infrastructure, investment management, and renewable energy. Evren: A clean-energy platform jointly launched by Brookfield and Axis Energy to develop renewable power projects. Sustainable Infrastructure: Infrastructure projects designed to minimize environmental impact, conserve resources, and promote social equity while being economically viable for long-term operation.