JSW Energy stock up 4% after arm inks PPA for 1,325 MW renewable projects

The surge in the share price came after the company revealed that JSW Energy Neo via its subsidiary, has signed a PPA) for wind and solar projects with cumulative capacity of 1,325 MW

JSW Energy in focus: Shares of JSW Energy were buzzing in trade on Thursday. The scrip rose as much as 3.77 per cent to hit an intraday high of Rs 739.15 per share. 

The surge in the share price came after the company revealed that JSW Energy Neo via its subsidiary, has signed a power purchase agreement (PPA) for wind and solar projects with cumulative capacity of 1,325 MW, comprising of 1,025 MW with Solar Energy Corporation of India Limited and 300 MW with Gujarat Urja Vikas Nigam Limited. 

The wind PPA for 1,025 MW represents SECI's largest single tranche agreement, featuring a blended tariff of Rs 3.62 per kWh for a 25-year supply period. These projects are located in Gujarat (JSW Renew Energy Eight Limited) and Karnataka (JSW Renew Energy Four Limited), scheduled to commence operations within 24 months, increasing the company's locked-in wind capacity to 4.8 GW.

Additionally, JSW Energy has secured a PPA for 300 MW of grid-connected solar capacity with GUVNL, part of Gujarat State Electricity Corporation Limited's RE Park at Khavda (GSECL Stage-3). This agreement entails a tariff of Rs 2.66 per kWh over 25 years. The corresponding project (JSW Renew Energy Ten Limited) is set in Gujarat and expected to be operational within 21 months, boosting the company's locked-in solar capacity to 3.3 GW.

JSW Energy's total locked-in generation capacity now stands at 13.6 GW, comprising 7.3 GW operational, 2.6 GW under construction across wind, thermal, and hydro sectors, and a renewable energy (RE) pipeline of 3.7 GW (including PPAs for 1.3 GW). The company also possesses 3.4 GWh of locked-in energy storage capacity through battery energy storage systems and hydro pumped storage projects.

JSW Energy is among the leading private sector power producers in India, and part of the $24 billion JSW Group. 

The company  has established its presence across the value chains of the power sector with diversified assets in power generation, and transmission. 

With strong operations, robust corporate governance and prudent capital allocation strategies, JSW Energy continues to deliver sustainable growth, and create value for all stakeholders. 

JSW Energy began commercial operations in 2000, with the commissioning of its first 2x130 MW thermal power plants at Vijayanagar, Karnataka. 

Since then, the company has steadily enhanced its power generation capacity from 260 MW to 7,290 MW having a portfolio of Thermal 3,508 MW, Wind 1,716 MW, Hydel 1,391 MW and Solar 675 MW ensuring diversity in geographic presence, fuel sources and power off-take arrangements. 

JSW Energy is presently constructing various power projects to the tune of 2.6 GW, with a vision to achieve a total power generation capacity of 20 GW before the year 2030.

The market capitalisation of JSW Energy is Rs 1,28,478 crore, according to Bombay Stock Exchange (BSE).

At 11:44 AM, shares of JSW Energy were trading 3.21 per cent higher at Rs 735.10 per share. In comparison, BSE Sensex was trading 0.27 per cent higher at 78,889.85 levels.