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NHPC rallies on inking MoU for execution of hydropower projects in J&K

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Capital Market
Last Updated : Jan 04 2021 | 3:50 PM IST

NHPC rose 6.71% to Rs 24.65 after the company said it signed a memorandum of understanding (MoU) with Jammu and Kashmir State Power Development Corporation (JKSPDCL) on 3 January 2021 for the execution of hydropower projects in the region.

The projects include Kirthai-11 (930 MW), Sawalkot (1856 MW), Uri-I (Stage-II) (240 MW) and Dulhasti (Stage-11) (258 MW).

NHPC and JKSPDCL will also explore the possibility of developing the renewable energy potential of J&K including (but not limited to) solar, wind and small hydro projects either by expanding the scope of existing joint venture companies or by creating a new joint venture company. The detailed modalities shall be mutually worked out by the parties.

NHPC shall help in capacity building of engineers and staff of J&K with special attention to staff from POD and JKSPDCL. This shall include but not be limited to trainings, site and exposure visits and short and long-term deputations of J&K engineers and staff to NHPC. NHPC will support PDD and its unbundled corporations and JKSPDCL with assistance and consultancy in Project Management (PMC) and monitoring, and related aspects including power trading.

The 930 MW Kirthai-11 project shall be executed by Chenab Valley Power Projects (a joint venture company of NHPC, JKSPDCL and PTC India), on the same terms and conditions as have been agreed for Pakaldul, Kiru and Kwar HEPs. The announcement was made during market hours today, 4 January 2021.

NHPC is engaged in electric power generation by hydroelectric power plants. The firm is also engaged in contracts, project management and consultancy works. As of 30 September 2020, the Government of India held 70.95% stake in the company.

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First Published: Jan 04 2021 | 3:15 PM IST

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