The parties will invest INR40bn ($626m) to develop the parks in the regions of Bikaner and Jaisalmer.
They will own equal shares in the joint entity, dubbed Essel Saurya Urja Company of Rajasthan.
Under the agreement, the government will provide land for the project, while Essel will be responsible financing, technical support, operation and maintenance of the facilities.
Essel Infra and Utilities CEO Ashok Agarwal said: "Solar Park Project in Rajasthan will be India’s turnkey project in the renewable energy space which will aid the clean energy initiatives of the government of Rajasthan."
Apart from Essel, SunEdison and Adani Enterprises have also signed deals with the Rajasthan government to develop 5GW of solar PV projects and a 10,000MW of solar park respectively.
The Government of India has issued guidelines to establish about 25 solar parks, each with a capacity of 500MW and above, as part of its plan to develop 100GW of solar capacity by 2022.
