SJVN share price rises 5% on signing two MoUs with Maharashtra government
Source: Business Standard
The surge in SJVN share price came after the company announced that it has signed two Memorandums of Understandings (MoUs) with the Government of Maharashtra for development of Pumped Storage Projects (PSPs) and Floating Solar Projects (FSPs) in the state of Maharashtra.
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The total estimated investment is around Rs 48,000 crore, which is expected to create approximately 8,400 direct and indirect jobs, SJVN said in a statement.
The first MoU involves the development of five Pumped Storage Projects (PSPs) with a combined capacity of 8,100 MW. These projects include 800 MW Kolmondapada, 1,500 MW Sidgarh, 2,000 MW Chornai, 1,800 MW Baitarni, and 2,000 MW Jalvara.
The agreement allows SJVN to proceed with surveys, investigations, and the preparation of Detailed Project Reports (DPRs), facilitating timely implementation in line with governmental regulations. The PSPs are crucial for energy storage, grid stabilisation, and meeting peak electricity demand, ensuring a reliable and clean energy supply for Maharashtra.
The second MoU is for a 505 MW Floating Solar Project at Lower Wardha Dam, to be developed in two phases. The first phase at 100 MW and the second at 405 MW. This phased approach will leverage existing power evacuation infrastructure and contribute to a sustainable energy source in the region, SJVN highlighted.
Additionally, these projects will promote eco-tourism and skill development initiatives, benefiting local communities, the company said.
SJVN Limited, founded in 1988 and based in Shimla, Himachal Pradesh, is an Indian public sector company specialising in power generation. The company manages the entire lifecycle of hydroelectric projects, including design, analysis, operation, planning, development, execution, and maintenance.
While it initially concentrated on hydroelectric power, SJVN has expanded into thermal, solar, and wind energy sectors. It oversees major projects such as the Nathpa Jhakri and Rampur hydro power stations and is actively pursuing numerous new initiatives across India.
The market capitalisation of the company is Rs 51,598 crore, according to Bombay Stock Exchange (BSE). The company falls under the BSE500 category.
At 12:44 PM, shares of SJVN were trading 4.21 per cent higher at Rs 131.30 per share. In comparison, BSE Sensex was trading 0.11 per cent lower at 85,742.14 levels.
First Published: Sep 27 2024 | 12:54 PM IST
