Coal India has signed a power purchase agreement for the sale of 100 megawatt (MW) of solar power to Gujarat Urja Vikas Nigam Limited. The tenure of the agreement is 25 years.

The public sector miner has charted an aggressive expansion plan in solar power generation, aiming to set up a solar power capacity of 3,000 MW by 2024.

The company has earmarked an estimated Rs 13,500-crore capital expenditure on solar power projects which will be funded through a combination of internal resources, special purpose vehicles and debt.

The generating capacity would need buyers and as a result Coal India would have to ink agreements with power distribution companies.