Shares of NHPC gained over 3 percent on March 6 morning, a day after the state-run power company said it has started developing the 1,200-MW Jalaun Ultra Renewable Energy Power Park in Uttar Pradesh.
The solar park will be developed by Bundelkhand Saur Urja, a subsidiary of National Hydro Power Corporation (NHPC), with an investment of Rs 796.96 crore. Prime Minister Narendra Modi virtually laid the stone for the park earlier this week.
The Bundelkhand Solar Energy Ltd. (BSEL) is commencing the construction of park which has to be completed in two years. It will generate about 2,400 MUs of electricity every year.
At 9.29 am, NHPC shares were trading at Rs 94.10 on the National Stock Exchange, up 1.7 percent from the previous close. In the past year, the PSU stock has rallied over 47 percent, outperforming the benchmark Nifty, which has gained 27 percent.
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The project is being set up under the Ultra Mega Renewable Energy Power Park (UMREPP) scheme of the Ministry of New & Renewable Energy.
The project is a joint venture between the Uttar Pradesh Non-Conventional Energy Development Agency (UPNEDA) and the NHPC. While UPNEDA will have 26 percent equity in the project, THDCIL’s share would be 74 percent.
The ministry will provide Rs 20 lakh per MW or 30 percent of the project value, whichever is less, for the development of internal infrastructure and connectivity from the park to the nearest transmission system.
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NHPC is the largest hydropower development organisation in India, with capabilities to undertake all the activities from conceptualisation to commissioning of hydro projects. The Faridabad-based company has also diversified into solar and wind energy development.
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