Adani Green locks in upper circuit upon largest project win

Adani Green locks in upper circuit upon largest project win

Apurva Joshi
/ Categories: Trending

Adani Green Energy Limited (AGEL) has secured the largest solar agreement from Solar Energy Corporation of India (SECI) wherein AGEL will develop solar projects of 8 GW leading to Adani Solar establishing 2 GW of additional solar cell and module manufacturing capacity.

Considering this development, AGEL will now have 15 GW capacity under operation, construction or under contract enabling it to become the world’s largest renewable company by 2025. This venture will help AGEL to reach its objective of installing generation capacity of 25 GW of renewable power by 2025 with an investment commitment of Rs 1,12,000 crore (US$ 15 billion) in the renewable energy space over the next five years.

The 8 GW of solar development projects will be implemented over the next five years. The first 2 GW of generation capacity will come online by 2022 and the subsequent 6 GW capacity will be introduced in 2 GW annual increments through 2025. The solar cell and module manufacturing capacity of 2 GW will be set up by 2022 and that, along with the existing 1.3 GW of capacity will further make Adani Group India’s largest solar manufacturing facility.

This award, the largest ever of its type in the world, will involve a single investment of Rs 45,000 crore (US$ 6 billion) and will create 4,00,000 direct and indirect jobs. It will also displace 900 million tonnes of carbon dioxide over its lifetime. This is the single biggest investment declared since the launch of Atma Nirbhar Bharat Abhiyan (Self-Reliant India Programme) by Prime Minister of India, Narendra Modi.

As the government had classified power generation as an 'essential service', all of AGEL’s solar and wind plants were operational to their full capacity during the lockdown period. It presently has 2.5 GW of operational renewable plants and 3.5 GW of renewable plants under implementation. These plants are scheduled to be commissioned in a phased manner by FY22. There has been no material impact of COVID-19 related disruptions on the company’s profitability of the current operations.

AGEL’s stock got locked in upper circuit of 5 per cent at Rs 312.75, on Tuesday, from its previous close of Rs 297.90 on BSE.

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