On Monday, Reliance Power Limited made a significant announcement regarding its subsidiary, Reliance NU Energies Private Limited. This subsidiary has emerged victorious in SJVN’s competitive bidding process, securing the largest allocation of 350 MW of solar generation capacity along with an impressive 175 MW/700 MWh battery energy storage system (BESS). This milestone marks a pivotal moment for Reliance Power in the renewable energy sector.
Share Price Surge Following Announcement
Following this exciting news, Reliance Power’s shares experienced a notable boost, climbing by 10.01% to reach a trading price of Rs 42.56 by 10:40 am today. This surge reflects investor confidence in the company’s growing clean energy portfolio.
- 350 MW of solar capacity secured
- 175 MW/700 MWh battery storage system included
- Share price increased by 10.01%
In their regulatory filing, Reliance Power detailed that once the platform is operational, it will enhance the company’s installed solar photovoltaic capacity by 600 MWp, alongside the 700 MWh of energy storage.
Expanding Renewable Energy Portfolio
With this latest addition, Reliance Power’s total clean energy pipeline now boasts an impressive 2.5 GWp in solar capacity and over 2.5 GWhr in battery storage. The winning tariff for the project was set at Rs 3.33/kWh, fixed for 25 years, placing it among the most competitively priced projects in India’s evolving energy landscape.
The Letter of Award (LoA) from SJVN is anticipated soon, which will formalize this agreement. This project is a segment of a larger tender by SJVN, which involves 1,200 MW of solar power along with 600 MW/2,400 MWh of BESS. The bidding process was highly competitive, with 19 entities participating and 18 qualifying for the e-reverse auction. In fact, the tender was oversubscribed by more than four times.
Project Requirements and Future Prospects
The awarded project stipulates a minimum four-hour daily discharge window, ensuring reliable peak power delivery to state distribution utilities (Discoms). It will be developed under a build-own-operate (BOO) framework, adhering to the Ministry of Power’s standard bidding guidelines.
“This successful bid highlights Reliance Power’s dedication to becoming a frontrunner in India’s renewable energy landscape,” the company stated. “It represents a crucial step in our strategic goal to transition towards cleaner energy sources, playing a vital role in shaping India’s sustainable energy future.”
In a related development, Reliance NU Suntech Private Limited—another subsidiary of Reliance Power—recently finalized a 25-year Power Purchase Agreement (PPA) with the Solar Energy Corporation of India (SECI). This agreement is for the development of Asia’s largest integrated solar and battery energy storage project, featuring 930 MW of solar power capacity alongside 465 MW/1860 MWh of BESS. The investment for this ambitious project could reach up to Rs 10,000 crore.
In conclusion, Reliance Power’s strategic moves and successful bids not only underscore its commitment to renewable energy but also position the company as a key player in India’s energy transition.
