Mahindra Susten forays into ‘Hybrid’ Renewable Energy segment with a ‘solar + wind’ project

Mahindra Group is committed to operating ‘Planet Positive’ businesses and one of the first business houses  in India to commit to adopting 100% renewable energy across its operations by 2030.

To this end the Group announced the launch of ˜150 MW hybrid RE (solar + wind) project in the state of Maharashtra. To be developed by Mahindra Susten, a leader in renewable Independent Power Producer (IPP) business, with marquee global investor Ontario Teachers’ Pension Plan Board as a strategic partner, the project is set to be one of the largest co-located solar + wind hybrid projects in Maharashtra to deliver clean energy to commercial and industrial customers.

The project will be commissioned within the next two years and will integrate more than 80% locally manufactured components, to demonstrate the Mahindra Group’s commitment to the vision of ‘Aatmanirbhar Bharat’.

The project

With an investment of ₹ 1200 Crore to establish a renewable energy hybrid system, integrating solar and wind power technologies and an installed capacity of approximately 150 MW, the project comprises about 101 MW of wind capacity and 52 MW of solar capacity. This sizing of components is strategically aligned with the energy consumption pattern of the offtakers, ensuring optimal utilisation and efficiency.

The primary objective of this hybrid project in Maharashtra is to produce around 460 million kWh of energy annually while mitigating approximately 420,000 tonnes of CO² emissions. Scheduled for completion and operational by FY26, this initiative represents a significant step towards advancing renewable energy infrastructure in the region.

Hybrid renewable energy projects play a pivotal role in shaping both Mahindra's and India's energy future. By combining wind and solar power, these projects offer a more reliable and stable energy supply, effectively balancing energy demand with environmental sustainability. In the case of Mahindra Susten's project, it contributes to the broader commitment of Mahindra Group to adopt 100% renewable energy by 2030.

The location

Several key factors influence the selection of locations for hybrid projects like this one. These include the consumption pattern of the offtakers, availability and potential of wind and solar resources, land availability, connectivity to power grids, and regulatory environments. The aim is to maximise energy production while preserving or enhancing environmental sustainability. Optimal site selection ensures higher efficiency and greater output by harnessing natural conditions for both solar and wind generation.

Supporting businesses

The hybrid project will also support the Auto & Farm businesses’ transition towards a greener portfolio.

The Auto & Farm business has contracted capacity of ˜41.20MW of wind and 25.90 MW of solar within this project which will annually generate ˜197 million kWh of energy and is expected to abate ˜184,000 tonnes of CO² emissions.

Thereby expecting to increase the renewable energy share from 34% in FY23 to around 60% in FY26, supporting the Auto sector's shift towards reduced operational emissions and enhances sustainability.  

Support for local communities

Mahindra Susten is committed to involving and supporting local communities around the project area. The project is expected to create significant job opportunities, both during the construction phase (400-500 jobs) and operational phases (75-100 jobs). Additionally, Mahindra Susten operates a skilling centre in Maharashtra, offering courses to train rural youth.

This transition not only supports Mahindra's environmental goals but also presents an economically viable move, providing operational cost savings and aligning with global sustainability trends. Mahindra Susten’s foray into hybrid renewable energy exemplifies the Group’s unwavering commitment to pioneering sustainable solutions.