NHPC Revises MoU With Maharashtra Govt For 7,350 MW PSPs

NHPC Revises MoU With Maharashtra Govt For 7,350 MW PSPs

On September 3, State owned NHPC (National Hydroelectric Power Corporation Private Limited) said that it has re-entered a memorandum of understanding (MoU) with the Maharashtra’s Department of Water Resources (WRD) for 7,350 MW renewable energy storage systems. The MoU aims to establish energy storage systems, specifically pumped storage projects (PSPs), in the state of Maharashtra.

Earlier, NHPC signed an MoU with the Energy department of Maharashtra for developing solar, wind and hybrid projects as well. 

As per the pact with WRD, NHPC will be developing four major PSPs in the state: Kengadi (1,550 MW), Savitri (2,250 MW), Kalu (1,150 MW), and Jalond (2,400 MW).

The revision comes after the issuance of a corrigendum on July 31, 2024, regarding Maharasthra’s policy for developing PSPs through public-private partnerships. PSPs are to play a vital part in India’s plans for integrating more renewables into the national grid. 

NHPC reported a 1.2 per cent year-on-year (YoY) increase in net profit, reaching ₹1,108.5 crore for the first quarter ending June 30, 2024. This marks a slight rise from the ₹1,095 crore net profit recorded in the corresponding quarter of the previous fiscal year, according to the company’s regulatory filing.

The company’s revenue from operations decreased by 2.3 per cent, totaling ₹2,694.2 crore, compared to ₹2,757.3 crore in the same period of the previous fiscal year. On an operational level, NHPC’s EBITDA declined by 2.8 per cent to ₹1,462.6 crore in the first quarter of this fiscal year, down from ₹1,504.6 crore in the corresponding period of the previous year.

The EBITDA margin for the reporting quarter was 54.3 per cent, slightly lower than the 54.6per cent recorded in the first quarter of FY24. EBITDA refers to earnings before interest, tax, depreciation, and amortization.

Shares of NHPC Ltd closed at ₹99.04 on the BSE, an increase of ₹1.18 or 1.21 per cent.