JSW Energy rallied 3.36% to Rs 303 after the company said that its wholly-owned subsidiary, JSW Neo Energy, has entered into a MoU with the Government of Maharashtra for setting up a 960 MW capacity hydro pumped storage project.
JSW Neo Energy, subsidiary of JSW Energy has signed a Memorandum of Understanding (MoU) with the Maharashtra Government for setting up a 960 megawatt (MW) capacity hydro pumped storage project (PSP) viz. Pane (Raigarh) pump storage project in the state of Maharashtra.
With rapid addition of renewable energy capacity in the country, development of energy storage solutions such as hydro PSP become essential to solve intermittent power supply from renewables. Hydro pump storage is a well-established technology that provides adequate peaking power reserves, reliable grid operation, and energy balancing and storage capacity, the company said.
JSW Energy through its green growth vehicle JSW Neo Energy has been expeditiously securing key resources for Hydro PSPs in various resource rich states for projects with a targeted capacity totalling upto 10 GW. With the signing of the aforesaid MoU, the company has secured resources for approximately 6 gigawatt (GW) hydro PSPs with the Governments of various states (Maharashtra, Chhattisgarh, Telangana, and Rajasthan), the company stated in the press release.
JSW Energy said that its platform capacity stands at approximately 9.1GW (share of renewables at 65%) including 1.75 GW renewable assets under acquisition from Mytrah and about 2.5 GW of under-construction/in-pipeline wind and hydro projects which are likely to be commissioned in phases over the next 12-24 months. Further, the company is well ahead of timelines in achieving its near-term capacity target of 10GW by FY25, it added.
Prashant Jain, joint managing director and CEO of JSW Energy, said, We are excited to actively participate in the strong prospects of Hydro PSPs in sustainably solving the problem of intermittency of renewable power. In continuation to our target to achieve 10GW of Hydro PSP capacity we are pleased to have signed second MoU with Government of Maharashtra. Our proven excellence in safely building hydro plants and operating the largest hydro portfolio in the private sector has uniquely enabled us to develop Hydro PSPs in the country.
The company said that it has set an ambitious target for a 50% reduction in its carbon footprint by 2030 and achieving Carbon Neutrality by 2050 by transitioning towards renewable energy. The company has set a target to reach 20 GW capacity by 2030, with the share of renewable energy increasing to approximately 85%. Around 2.5 GW of renewable energy projects are currently under-construction/in-pipeline, Wind projects of 1.26 GW tied with Solar Energy Corporation of India (SECI), are expected to be fully commissioned in the next 12-18 months.
Further, the company has received LoA for 300 MW project from SECI under its tranche XII auctions and with the acquisition of Mytrah Energy's 1.75 GW RE assets, total platform capacity will increase to 9.1 GW.
JSW Neo Energy, a wholly owned subsidiary of JSW Energy, is a vehicle formed as a part of re-organisation of business to own all the renewable/green and new energy businesses. The company is evaluating opportunities to foray into emerging energy businesses of hydro pumped storage, battery energy storage, green hydrogen, and becoming an energy products & services company.
JSW Energy is one of the leading private sector power producers in India and part of the $22 billion JSW Group. JSW Energy has presence across the value chains of the power sector with diversified assets in power generation, and transmission.
JSW Energy's consolidated net profit surged 178.7% to Rs 560.43 crore in Q1 FY23, as against Rs 201.10 crore in Q1 FY22. Net sales climbed 75.2% YoY to Rs 3,026.27 crore in Q1 FY23.
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