Torrent Power secures 100MW RE-RTC power contract
In a significant stride towards bolstering its renewable energy portfolio, Torrent Power Limited has recently been awarded a prestigious contract by Railway Energy Management Company Limited (REMCL) for the supply of 100 MW Round-The-Clock (RE-RTC) power. This pivotal deal, valued at approximately ₹2,700 Crore, underscores Torrent Power’s commitment to renewable energy and its strategic positioning within the industry.
The Letter of Award, dated 29th February 2024, marks the commencement of a 25-year partnership between Torrent Power and REMCL. This collaboration entails the establishment of grid-connected renewable power projects, potentially integrated with storage solutions, aimed at delivering 100 MW of continuous power. Torrent Power is tasked with the project’s completion within 24 months from the Power Purchase Agreement signing date.
This venture involves the installation of around 325 MW of renewable capacity, encompassing wind, solar, and battery storage technologies. The project stipulates a minimum annual Capacity Utilisation Factor of 75% for the initial three years, which increases to 85% from the fourth year onward. The agreed tariff for the 25-year term stands at ₹4.25 per KWh.
Torrent Power’s renewable energy capacity, including projects under execution, now reaches an impressive 2.6 GW. This expansion is part of Torrent’s broader strategy to enhance its generation capacity through renewables, in alignment with its sustainability commitments and the national objective to achieve 500 GW of non-fossil fuel capacity by 2030. The company is actively exploring both organic and inorganic opportunities within the renewable sector to minimize its carbon footprint. With a balanced mix of wind and solar energy in its portfolio, Torrent is also investigating other green energy avenues, including pumped hydro and green hydrogen.
The renewable energy sector is witnessing a paradigm shift, with major corporations like Torrent Power leading the charge towards a more sustainable and environmentally friendly energy landscape. This contract not only reflects Torrent Power’s dedication to green energy but also aligns with global trends towards reducing dependency on fossil fuels and mitigating climate change impacts.
Torrent Power’s initiative represents a significant milestone in India’s renewable energy journey, setting a benchmark for future projects in terms of scalability, reliability, and sustainability. As the sector continues to evolve, such strategic partnerships and investments are crucial for achieving long-term environmental goals and ensuring energy security.
Torrent Power Limited’s acquisition of the 100 MW RE-RTC power contract from REMCL is a testament to the company’s forward-thinking approach and its role as a key player in India’s renewable energy sector. This project not only signifies a substantial leap towards achieving renewable energy targets but also highlights the potential for innovative solutions in meeting the nation’s growing energy demands sustainably.