Adani Power gets carbon credits, shares gain

Stock on the BSE jumped over 2% on Monday

Adani Power Limited shares jumped by over 2% on the Bombay Stock Exchange (BSE) on Monday after the company announced that it has received carbon credits under the Clean Development Mechanism (CDM) of the United Nations Framework Convention on Climate Change (UNFCCC).

These credits are for phase III (consisting of two units of 660 Mw) of its 4,620 Mw power plant in Mundra, Gujarat.

The power producing arm of Adani Enterprises Limited is likely to earn Rs 600 crore in carbon credits trading over 10 years of operations, it informed in a statement filed with the BSE today.

The plant is expected to generate about 1.8 million Certified Emission Reductions (CERs) each year. This makes Mundra plant the world’s first coal-fired power project to receive carbon credits, the statement said.

The company shares traded at Rs 41.90 during afternoon trades on the BSE and hit an intra-day high of Rs 42.30. The parent company, Adani Enterprises Limited zoomed by over 5 per cent during the day to trade at Rs 162.87 on BSE.