Rural Electrification Corporation (REC) has committed towards investment of around Rs. 40,000 crore (US$ 4.80 billion) for projects in Odisha
- IBEF
- October 17, 2023
According to Rural Electrification Corporation (REC) Limited, initial agreements have been signed to finance two green hydrogen projects and a thermal power plant in Odisha. REC and Odisha Power Generation Corporation (OPGC) have signed a Memorandum of Understanding (MoU) to finance Rs. 9,538 crore (US$ 1.14 million) for the building of two units of a thermal power plant in Jharsuguda, Odisha.
The collaboration will contribute significantly to the state’s power generation capacity and energy infrastructure, says REC.
As part of its cooperation with Acme Group, REC will contribute Rs. 16,000 crore (US$ 1.92 billion) to a green hydrogen and ammonia project that is envisioned for the state of Gujarat's Gopalpur. Additionally, it signed an agreement with the Avaada Group, promising to contribute Rs 15,000 crore (US$ 1.80 billion) to a green hydrogen and ammonia facility in Gopalpur, according to REC. All MoUs are valued at a combined Rs. 40,538 crore (US$ 4.86 billion).
According to Mr. Vivek Kumar, Chief Managing Director (CMD), REC, the project demonstrates how critical clean and sustainable energy sources are to the future. Initiatives for India's energy transition have full support. By 2030, the idea is to have a 10-fold renewable energy portfolio worth Rs. 3 lakh crore (US$ 36.02 billion), up from Rs. 30,000 crore (US$ 3.06 billion) presently.
REC, under the Ministry of Power, is a Non-Banking Finance Company (NBFC) focusing on power sector financing in India.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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