The concentrated solar power (CSP) is expected to cost $400m and will be developed by the company’s subsidiary Rajasthan Sun Technique.

The project employs the Compact Linear Fresnel Reflector technology developed by Areva Solar to produce electricity.

Asian Development Bank is financing the alongside Dutch development bank FMO, US-EXIM Bank and Axis Bank.

According to a Reliance Power spokesperson the site has the highest solar radiation in the country for the development of the project.

"With the entire financing in place, the project work is progressing well and the plant is to be commissioned by next year," the spokesperson added.