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Torrent Power eyes adding renewable energy capacity through new deals and acquisitions

By on July 17, 2022 0

Torrent Power intends to increase its renewable energy portfolio through the acquisition of existing projects and also seeks new opportunities in the transmission and distribution sectors.

Torrent Power Chairman Samir Mehta cited the recent coal shortage and the Russian-Ukrainian war, which crippled power generation in the country, as reasons for the need to move towards a sustainable future by increasing the generation of energy from clean sources in India.

Torrent Power’s total power generation portfolio, including existing and under-development projects, is 4,975 MW, including 2,730 MW gas, 663 MW solar, 1,220 MW wind and 362 MW coal.

Currently, the company is not developing any coal or gas power projects. Solar capacity under development is 400 MW, while wind capacity under construction is 415 MW.

“We aim to grow our renewable energy portfolio through new offerings or acquisitions in the coming years…we are firmly positioned to move your business (Torrent Power) forward on the path to financial progress and a sustainable future,” Mehta said in his post. in the company’s annual report for 2021-22.

Mehta also said the company will continue to seek new opportunities in the distribution and transmission sectors through the privatization or franchise of distribution areas.

He said: “In the first half (2021-22), we saw electricity demand growth of around 12%, the highest in a decade. However, the growth trajectory was quickly derailed due to the Coal supply constraints accompanied by high coal and gas fuel prices The Russian-Ukrainian conflict and economic sanctions against Russia have had an additional impact on the situation.

He is of the opinion that this was a year (2021-22) of electricity crisis, where the company experienced a reduction in load in some states due to the non-availability of fuel. accompanied by a sharp increase in electricity prices.

“(Electricity) tariffs were so high that (electricity) regulators had to step in and cap electricity prices. Successive waves of the Covid-19 pandemic throughout the year increased business continuity concerns,” he added.

He pointed out that recent geopolitical conflicts have reaffirmed the need for a rapid transition to cleaner fuels, which is imperative for sustainable development.

Countries around the world are trying to reduce their dependence on fossil fuels and increase the concentration of renewable energy in their energy portfolio, he noted.

(With PTI entries)