GAIL and Rajasthan Rajya Vidyut Utpadan Nigam (RRVUNL) have signed a pivotal Memorandum of Understanding (MoU) to enhance the efficiency of gas-based power plants and spearhead a major solar energy initiative. The MoU outlines plans to transfer RRVUNL’s gas-based plants in Dholpur and Ramgarh to a new joint venture company (JVC). This strategic move aims to optimize operations and improve power supply efficiency in line with the government’s push for reliable energy sources during peak demands, like the 250 gigawatts recorded in May 2024.
Under this agreement, GAIL and RRVUNL will also explore the development of around 1,000 megawatts (MW) of solar and wind power projects on identified land parcels. This initiative seeks to ensure a steady supply of round-the-clock (RTC) power, further advancing their commitment to sustainable energy solutions.
This collaboration marks GAIL’s second venture into managing gas-based power assets, following its 2022 acquisition of a 26% stake in ONGC Tripura Power Company, which operates a 726.6 MW plant in Tripura. Detailed feasibility studies will precede the formation of the JVC, ensuring thorough assessment of project viability.
GAIL already plays a significant role in Rajasthan’s energy landscape through its extensive pipeline network, supplying gas to various industrial and residential sectors. The company also supports the Jal Jeevan Mission by providing materials for enhancing rural water supply. This partnership underscores GAIL’s ongoing efforts to contribute to India’s evolving energy mix and infrastructure development.
News by Rahul Yelligetti