India’s power sector is among the largest and most varied in the world, with an installed capacity of around 442.85 GW (GigaWatt) as of April 2024. This capacity is sourced from coal, natural gas, hydro, nuclear, and renewable energies.
Among all the major power-producing states, Maharashtra is recognized as the largest producer and consumer of electricity in India. The state has accomplished 100 percent household electrification and caters to a broad spectrum of consumers.
The Department of Water Resources (WRD) of the Government of Maharashtra has recently signed a Memorandum of Understanding (MoU) with NHPC and Torrent Power to establish Energy Storage Systems.
NHPC Limited
NHPC Limited had previously entered into a MoU with the Department of Energy, Government of Maharashtra, for the development of Energy Storage Systems and other renewable energy sources with a total capacity of 7,350 MW (MegaWatt).
Following an amendment issued on August 31st, 2024 regarding the policy for Pumped Storage Projects (PSPs), the MoU was renewed with the Department of Water Resources (WRD), Government of Maharashtra.
Recently on 3rd September NHPC Limited and WRD signed the updated MoU to establish Pumped Storage Projects including Kengadi (1,550 MW), Savitri (2,250 MW), Kalu (1,150 MW), and Jalond (2,400 MW), maintaining the total capacity of 7,350 MW.
With a market capitalization of Rs.99,225 crore, NHPC Ltd’s share price is trading currently at Rs.98.75 per share, down 0.3 percent from its previous close.
Torrent Power Limited
Torrent Power’s letter from June 6, 2024, mentioned a MoU with the Department of Energy, Government of Maharashtra, for projects with a total capacity of 5,700 MW.
On 3rd September 2024, the company entered into a new MoU with the Department of Water Resources, Government of Maharashtra, focusing on establishing Pumped Storage projects with a total capacity of 5,600 MW, a revision from the earlier 5,700 MW.
With a market capitalization of Rs.82,320 crore, Torrent Power Ltd’s share price is trading at Rs.1,712.05 per share, down 0.04 percent from its previous close.
Overview
The recent MoUs signed by NHPC Limited and Torrent Power Limited with the Government of Maharashtra for developing Pumped Storage Projects (PSPs) with a combined capacity of 12,950 MW highlights the growth potential in India’s power sector.
These projects will support renewable energy goals and energy storage for solar and wind integration. Their successful execution could drive significant investments, job creation, and technological advancements, bolstering India’s position as a leader in renewable energy.
Written by – Siddesh S Raskar
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