Torrent Power soars 9% on inking MoU with Maharashtra govt for 3 projects

The company has signed a MoU with the Maharashtra government for setting up three Pumped Storage Hydro Projects of 5,700 MW capacity in Maharashtra, would entail an investment of about Rs 27,000 crore

Shares of Torrent Power hit new high of Rs 666, soaring 9 per cent on the BSE in Wednesday’s intra-day trade after the company said it signed a memorandum of understanding (MoU) with the Maharashtra government for setting up three Pumped Storage Hydro Projects of 5,700 MW capacity in Maharashtra.

The projects would entail an investment of about Rs 27,000 crore. Torrent plans to execute these projects over a period of five years. All the sites are off-stream and the projects are planned to provide a minimum of six hours of energy storage on a daily basis.

The projects would be executed at three sites identified by Torrent namely Karjat (3,000 MW) in Raigarh District, Maval, (1,200 MW) and Junnar (1,500 MW) in Pune District. All the sites are off-stream and the projects are planned to provide a minimum of six hours of energy storage on a daily basis. The project will would provide employment to approx. 13,500 people during the construction period.

Torrent Power currently has an aggregate installed generation capacity of ~4.1 GW, which consists largely of clean generation sources such as gas (2.7 GW) and renewables (1.07 GW). It also has Renewable capacity of 0.7 GW under development.

Torrent’s growth focus in Power Generation remains on Renewables. To complement its growing portfolio of renewables and distribution, Torrent is strategically entering the storage space to fulfill the void left in the grid by intermittent renewable power.

Given the Company’s strong balance sheet and unique positioning as an integrated power utility, the Company is well poised to pursue growth opportunities across the entire power value chain, the management said.