JSW forays into wind energy, wins 970 MW projects in Seci auctions
JSW Energy marked its entry into the country’s wind power generation sector by winning 970 megawatt (MW) projects in the latest auction conducted by the Solar Energy Corporation of India (Seci).
JSW Energy currently has a power generation capacity of 4,559 MW comprising 3,158 MW thermal, 1,391 MW hydel and 10 MW of solar power plants. The company aims to reach 10,000 MW capacity in the next three-five years, which will be done mainly through renewables addition.
According to sources, JSW has been awarded the wind project against its quote of Rs 3 per unit.
JSW Energy recently expressed its keenness to participate in the reverse auction of Seci for 5,000 MW power under a round-the-clock scheme, which involves purchases of renewable energy, along with coal-based power for assured uninterrupted electricity supply. The company had recently cancelled the Rs 5,321-crore deal to acquire GMR Infra’s 1,050 megawatt Kamalanga thermal power plant in Odisha.
The latest wind tariff is the second highest rate discovered in a pan-India auction conducted by Seci. Including the latest one, Seci has so far held nine reverse auctions for wind power since February 2017. The highest tariff of Rs 3.46 per unit was discovered in the maiden auction and the lowest rate of `2.44 per unit was discovered in the third tranche in February 2018.
The Indian arm of Singapore-based Vena Energy (formerly known as Equis Energy) has been awarded another 160 MW wind capacity for its bid of Rs 2.99 per unit in the latest auction. Vena Energy is a portfolio company of US-based fund manager Global Infrastructure Partners (GIP). According to a report by the Japan Credit Rating Agency, GIP had formed a consortium with China’s sovereign wealth fund China Investment Corporation and Canadian pension fund Public Sector Pension Investments for the acquisition of Equis Energy in 2018.
The country has set a target to raise the capacity of installed renewable energy generation plants to 175 GW by the end of 2022. As on July 31, the installed renewable energy capacity was 88 gigawatt.
Around 34 GW is under various stages of implementation and 34.5 GW under various stages of bidding. If the 45.7 GW of hydel and 6.8 GW of nuclear capacities are included, the target under the Paris climate change accord of having 40% of installed power generation capacity from non-fossil fuel sources will be achieved by 2022 itself.
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