Torrent Power Shares Gain Over 7% After Winning Solar-Wind Hybrid Project

Torrent Power Limited, an Indian power generation and distribution company, experienced a significant surge in its share price after announcing that it had won a solar-wind hybrid project from the Solar Energy Corporation of India (SECI). The project is part of India's National Solar Mission, which aims to install a total capacity of 100 GW of solar power by 2022.

The solar-wind hybrid project, located in the Kadapa district of Andhra Pradesh, will have a combined capacity of 250 MW. Torrent Power will develop, construct, and operate the project, which will consist of a solar power plant of 150 MW and a wind power plant of 100 MW. The project is expected to be completed within 24 months from the date of signing the power purchase agreement (PPA), which was awarded to Torrent Power in a recent reverse auction conducted by SECI.

The reverse auction saw intense competition among various renewable energy companies, with Torrent Power emerging as the lowest bidder. The company quoted an all-in tariff of INR 2.63 (US$0.035) per kWh for the project, which is one of the lowest tariffs ever quoted in India for a solar-wind hybrid project.

The success of this project is a significant milestone for Torrent Power as it marks the company's entry into the renewable energy sector in a major way. The company has previously focused on thermal and hydro power generation and distribution. With this project, Torrent Power is expected to diversify its portfolio and reduce its dependence on fossil fuels.

The news of Torrent Power's win in the solar-wind hybrid project was well received by investors, leading to a significant increase in the company's share price. The stock price of Torrent Power rose by over 7% on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) in intraday trading following the announcement.

The success of this project is also a positive sign for India's renewable energy sector, which is rapidly growing and attracting significant investment from both domestic and international players. The country is aiming to achieve 175 GW of renewable energy capacity by 2022, and projects like this one are crucial in achieving that goal.

In conclusion, Torrent Power's win in the solar-wind hybrid project from SECI is a significant development for the company and the Indian renewable energy sector as a whole. The project's success has led to a surge in Torrent Power's share price and marks the company's entry into the renewable energy sector in a major way. The project is also a positive sign for India's renewable energy sector, which is rapidly growing and attracting significant investment.