REC signs ₹1.12 trillion worth MoUs to finance green energy projects

Gandhinagar: State-run REC Ltd has inked agreements amounting to ₹1.12 trillion with renewable energy companies to finance a range of green energy projects. In a statement on Wednesday, the company said that these projects, discussed at a recent conclave, are slated for implementation over the next five years.

These memorandums of understanding (MoUs) encompass solar and wind hybrid projects, round-the-clock (RTC) solar and wind power, firm and dispatchable renewable energy (FDRE) systems, and floating solar plants. They also cover ultra-mega renewable energy parks, hydroelectric projects, battery energy storage systems (BESS), pumped storage, green hydrogen production, solar cell and module manufacturing, and other innovative technologies

"Discussions are also underway for financing of green energy corridors, wind turbine manufacturing, EV ecosystem including associated charging infrastructure. Further, REC is also open to consider renewable projects by developers for the C&I segment having top rated offtakers," according to the company statement.

During the RE Invest event, REC held talks with key stakeholders and leading renewable energy developers.

REC has committed ₹6 trillion towards India's energy transition by 2030. 

"REC intends to be a key player in the country's shift from 200 GW to 500 GW of installed non-fossil-based generation capacity by 2030," it added.

The company also aims to increase the share of renewables in its loan portfolio from the current 8% to 30%, targeting a loan book of ₹10 trillion by 2030.

Shares of REC closed at ₹545.65 on the BSE on Wednesday, up 0.18% from previous close.

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Earlier this year, REC secured a $200-million loan from Deutsche Bank AG to support green projects in India. In the last financial year, REC sanctioned loans worth ₹3.59 trillion, of which ₹1.36 trillion were allocated for renewable energy projects.