JSW Energy to invest ₹14,000 cr to expand renewable energy capacity of Oxygen Power
JSW Energy
would invest around ₹14,000 crore to expand
renewable energy capacity
of recently acquired O2 Power to 4.7 gigawatt (GW) by 2027, and in FY26 it looks to spend up to ₹18,000 crore to complete ongoing projects, senior company officials said. Its arm
JSW Neo Energy Ltd
(JSW Neo) has acquired 4,696 MW renewable energy platform of O2 Power Pooling Pte Ltd (O2 Power) for an enterprise value of ₹12,468 crore.
Of the total, 2,259 MW will be operational by June 2025, while 1,463 MW is under construction, and an additional 974 MW are in the pipeline, the company had said.
The current installed capacity of O2 Power is 1.3 GW and
JSW Energy
expects to increase it to 4.7 GW by June 2027 by undertaking capital expenditure of ₹13,000-14,000 crore, JSW Energy Joint MD Sharad Mahendra said in an analyst call.
On the capex plan for FY26, Pritesh Vinay, company's Director (Finance) and CFO said the company is expecting to spend ₹15,000-18,000 crore to complete the ongoing projects plus the pipeline of new growth projects that have started.
For FY25, it was about ₹8,000 crore as against guidance of ₹15,000 capex.
"Because of certain delays in some of the ongoing projects and because we were accelerating the inorganic growth pipeline, we calibrated it down," the CFO said.
Joint MD Mahendra said JSW Energy is constructing 11.3 GW of generation projects, all of which are fully tied up under long-term
Power Purchase Agreements
.
The under-construction portfolio includes 9.7 GW of renewable energy projects and 1.6 GW Salboni ultra-supercritical thermal power project which marks the company's investment in greenfield thermal after more than a decade, he said.
"Beyond this we have a robust project pipeline of approximately 4.9 GW of projects where Letters of Intent or Letters of Award have been secured and PPAs are yet to be signed."
On
KSK Mahanadi
, he said currently 1,800 MW is operational which is 95 per cent tied up under PPAs and has fuel supply agreements.
"We are currently integrating operations with JSW Energy and implementing comprehensive plan to bring cost efficiencies," he added.
JSW Energy had acquired the 3,600 MW thermal asset through NCLT proceedings for a total resolution amount of ₹16,084 crore.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
22 minutes ago
- Time of India
MP govt to organise summit to promote solar energy on June 10: Official
Bhopal: To speed up its promotion on solar energy further, the Madhya Pradesh government will organise ' Suryamitra Agriculture Feeder Scheme Summit' in Bhopal on June 10, said an official on Friday. Based on the 'vocal for local' vision, the summit will be organised at Kushabhau Thakre convention center aimed at providing developers and stakeholders with detailed information about the bidding process, financial structuring, and technical specifications. "The state is consistently promoting solar energy by commissioning one plant after another, steadily increasing the share of solar energy in its power generation capacity. This summit is a step toward energy self-reliance, farmer empowerment, and clean energy leadership for Madhya Pradesh," the official said. He further stated that the Madhya Pradesh government has set a target for achieving 500 GW of solar capacity by 2030, and efforts are being made to involve different stakeholders, including farmers. "To make agriculture profitable and ensure 10 hours of power supply for irrigation, the state government has already set up around 8,000 dedicated agricultural feeders," the official said. Under the scheme, solar projects can be set up at a cent per cent capacity of the substation load. The Madhya Pradesh Urja Vikas Nigam has already floated tenders for the selection of developers for these projects. These projects will be operated under 25-year Power Purchase Agreements (PPAs) with the government. "An important aspect of solar energy is generating and utilising it at the point of consumption," he added. He further informed that to meet the energy needs of farmers, especially for irrigation by generating solar energy near their fields and creating income opportunities, the Ministry of New and Renewable Energy is implementing the PM-KUSUM Scheme .
Time of India
15 hours ago
- Time of India
JSW Energy shares in focus on commissioning 281 MW renewable capacity, signing PPA for 250 MW wind project
Shares of JSW Energy are expected to be in the spotlight on Friday, June 6, following the company's announcement of the successful commissioning of 281 MW of organic renewable energy capacity, which includes 215 MW of solar and 66 MW of wind power. With this addition, JSW Energy 's total installed capacity has now risen to 12,499 MW, enhancing its ability to capitalise on the upcoming peak demand season and reinforcing its commitment to green energy. 'JSW Energy Limited ('The Company') is pleased to announce the successful commissioning of 281 MW of organic renewable energy capacity with solar capacity of 215 MW and wind capacity of 66 MW, taking the current installed capacity to 12,499 MW. This capacity addition is timely in nature and will enable the Company to benefit from the peak wind season during the year and will contribute meaningfully to overall renewable output,' the company informed via a regulatory filing. Following the addition, the company's renewable energy share in overall capacity has grown significantly, installed wind capacity now stands at 3,482 MW, solar at 1,968 MW, and hydro at 1,391 MW, pushing the renewable component to 55% of the total portfolio. In another major development, JSW Renew Energy Three Ltd, a subsidiary of JSW Energy, has signed a Power Purchase Agreement (PPA) with Adani Electricity Mumbai Ltd for a 250 MW STU-connected wind project . The PPA is valid for 25 years at a tariff of Rs 3.65/kWh. The project, located in Maharashtra, is expected to be commissioned within the next 24 months. JSW Energy also reaffirmed its robust project pipeline, with 29.9 GW of total locked-in generation capacity, including 12.5 GW operational and 12.4 GW under construction. It also boasts 29.3 GWh of locked-in energy storage capacity. Under its Strategy 3.0 roadmap, the company aims to achieve 30 GW of generation and 40 GWh of storage capacity by FY2030, while targeting carbon neutrality by 2050. JSW Energy shares on Thursday closed flat at Rs 508.15 on the BSE. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Business Standard
19 hours ago
- Business Standard
JSW Energy expands renewable capacity by 281 MW with new solar & wind projects
JSW Energy announced that it has successfully commissioned 281 MW of organic renewable energy capacity with solar capacity of 215 MW and wind capacity of 66 MW. With this development, the company's total installed generation capacity now stands at 12,499 MW, further strengthening its position in the renewable energy sector. Following the latest commissioning, JSW Energys installed wind capacity now stands at 3,482 MW, solar capacity at 1,968 MW, and hydro capacity at 1,391 MW. The total renewable capacity now contributes 55% to the companys overall portfolio. Further, JSW Renew Energy Three, a step-down subsidiary of JSW Energy, has signed a power purchase agreement (PPA) with Adani Electricity Mumbai for the supply of 250 MW wind power capacity connected to the state transmission utility (STU) in Maharashtra. The PPA is valid for a period of 25 years at a tariff of Rs 3.65 per unit (kWh). The project is expected to be commissioned within the next 24 months. JSW Energy has total locked-in generation capacity of 29.9 GW comprising of 12.5 GW operational, 12.4 GW under-constructions across wind, thermal and hydro and pipeline of 4.9 GW. The company also has 29.3 GWh of locked-in energy storage capacity through hydro pumped storage projects of 26.4 GWh and battery energy storage system of 2.9 GWh. The company aims to reach 30 GW generation capacities and 40 GWh of energy storage capacity by FY 2030. JSW Energy has set an ambitious target of achieving Carbon Neutrality by 2050, it added. Under its Strategy 3.0 roadmap, JSW Energy aims to achieve 30 GW of generation capacity and 40 GWh of energy storage capacity by FY 2030, as part of its long-term commitment to Indias clean energy transition. The company has also set a target to become carbon neutral by 2050. JSW Energy is one of the leading private sector power producers in India and part of JSW group. It has established its presence across the value chains of power sector with diversified assets in power generation, and transmission. The companys consolidated net profit jumped 16.1% to Rs 408.05 crore on 15.7% increase in revenue from operations to Rs 3,189.39 crore in Q4 FY25 over Q4 FY24. The scrip rose 0.83% to Rs 512.35 on the BSE.
