Torrent Power, ARS Steel Collaborate To Build 50 MW Solar Project

Torrent Power, ARS Steel Collaborate To Build 50 MW Solar Project In Tamil Nadu

By Chitrika Grover/ Updated On Tue, Jul 9th, 2024

Highlights :

The purpose of the agreement is to supply power from renewable energy sources by setting up 50 MWp Solar Power Generating Projects in Tamil Nadu
This project is expected to power the production units of ARS through open access

Torrent Power, ARS Steel Collaborate To Build 50 MW Solar Project In Tamil Nadu

Torrent Power subsidiary TU14 recently signed a share subscription and shareholders’ Agreement (SSSA) with ARS Steels & Alloy International Private Limited. This agreement was signed between Torrent Power Limited, ARS Steels & Alloy International Private Limited and Torrent Urja 14 Private Limited (TU14).

Torrent Power announced the signing of share subscription and shareholders’ agreement amongst the company, ARS Steels & Alloy International Private (ARS), and Torrent Urja 14 (TU14). The purpose of the agreement is to supply of power from renewable energy sources by developing and setting up to 50 MWp Solar Power Generating Projects in Tamil Nadu through open access from the Project of TU14 to the production units of ARS.

Torrent Power held 10,000 Equity Shares of Rs.10/- each aggregating to ₹ 1,00,000/- Ordinary Equity Share Capital of TU14 and was a wholly owned subsidiary of the company before the execution of SSSA. Under the terms of the agreement, ARS is expected to at all times during the subsistence of the Power Supply and Offtake Agreement hold not less than 26% of the aggregate Equity Shares of TU14. ARS shall be issued Class A Equity Shares. Each Class A Equity Share shall carry one vote and non-cumulative dividend at the rate mentioned in SSSA.

The Torrent Group earlier this year planned by Torrent Power in UP include two Pumped Storage Hydro (PSH) projects, having a total capacity of 4150 MW in the Sonbhadra district. A solar power plant with a capacity of 150 MW in Lalitpur district (Bundelkhkand region of UP) and a pilot green hydrogen production facility in Gorakhpur. The green hydrogen project is planned to be produced and blended with the gas distribution network being built by Torrent Gas. This claims to become one of the largest green hydrogen and natural gas blending projects in the country currently.