JSW Energy has re-organised its Green (Renewable) and Grey (Thermal) businesses. The company said that all the existing and upcoming renewable energy businesses will be housed under JSW Energy Neo, its wholly-owned subsidiary. This is in line with the announcement made by the Company on July 30, 2021.
"This move will help the Company in building and streamlining its renewable portfolio and setting up a holding structure which is efficient for fund-raising and unlocking value for shareholders. In May 2021, JSW Hydro Energy had issued green bonds of $ 707 million, which was the largest hydro green bond issuance in Asia," a company statement said.
Prashant Jain, Joint Managing Director and CEO of JSW Energy, said, "JSW Energy has laid out a growth plan to reach 20 GW of power generation capacity by 2030, with about 85 per cent of this capacity via renewable energy (up from 30 per cent currently)."
At present, JSW Energy has 4,559 Mw of installed capacity across thermal (3,158 Mw), and hydro & solar (1,401 Mw).
"JSW Neo Energy will be the vehicle for JSW Energy to drive the Company’s growth plans in renewable energy – across Generation, Energy Storage and Green Hydrogen. The Company’s operational hydro projects (Karcham: 1,091 Mw, and Baspa II 300 Mw) and all upcoming renewable energy projects will be housed in subsidiaries under JSW Neo Energy."
JSW said that around 2,458 Mw of renewable projects are currently under-construction. This includes 2,218 MW of wind and solar projects, for which Power Purchase Agreements (PPAs) have already been signed, are expected to be commissioned in the next 18-24 months, while the 240 MW Kutehr hydro project is expected to be commissioned in the next 36-40 months.
With the commissioning of these projects, the Company’s total generation capacity will increase to approximately 7 GW, with the share of renewable energy increasing to about 55 per cent.
JSW Energy said that it has set an ambitious target for 50 per cent reduction in carbon footprint by 2030 and achieving Carbon Neutrality by 2050 by transitioning towards renewable energy.