Subsidiary of state-owned REC, REC Power Development and Consultancy Ltd, has partnered with Bharat Heavy Electricals Ltd (BHEL) to collaborate on renewable energy projects nationwide. Together, they plan to establish a special purpose vehicle (SPV) dedicated to developing renewable energy projects for supply to discoms.
The SPV will leverage Bhel’s core engineering expertise and REC Limited’s infrastructure investment proficiency. Initially focusing on the commercial and industrial (C&I) segment, the SPV aims to commence operations with a capacity of 1 GW, with plans for further expansion, as stated by REC.
Vivek Kumar Dewangan, CMD of REC, emphasized the crucial role of this newly formed SPV in fulfilling India’s ambitious renewable energy targets and contributing to a cleaner future.
Bhel CMD Koppu Sadashiv Murthy said that synergizing the strengths of both organizations would help to meet the government’s ambitious targets in the renewable energy segment.
REC Power, a wholly owned subsidiary of REC Ltd, offers consultancy services and expert project implementation for various distribution reform projects valued at over ₹1 trillion.
This collaboration aligns with the government’s target of achieving 500 GW of installed renewable energy capacity by 2030. India presently boasts over 170 GW of installed renewable capacity, with the government aiming to add 50 GW annually until FY28. However, concerns have been raised regarding the feasibility of meeting this annual target.
In 2023, renewable capacity installation reached 13 GW, with projections estimating installations of 20 GW in FY24, followed by 25 GW in FY25.
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