Shares of Torrent Power surged as much as 5.2%, touching an intra-day high of ₹1,873.20 on the BSE today. The stock got a boost after the company received a Letter of Intent (LOI) from Maharashtra State Electricity Distribution Co Ltd (MSEDCL) to provide 1,500 MW of energy from a pumped hydro storage project, according to a statement released by the company late Tuesday evening. In September, Torrent Power signed a series of agreements, including the LOI from MSEDCL, and a Memorandum of Understanding (MoU) with the Government of Gujarat to develop a 5 GW solar-wind hybrid project. Earlier this month, the company also signed an MoU with Maharashtra's Department of Water Resources to establish 5,600 MW of Pumped Storage Projects (PSP).

At the time of reporting, Torrent Power shares were up 3.42% at ₹1,840.85 apiece on the BSE. The stock opened higher today at ₹1,834.00, in contrast with the weak broader market, against the previous close of ₹1,779.95. The company’s market cap stood at ₹88,474.34 crore. Over the past month, the stock has surged 10.05%, gained 54.66% in the last six months, and climbed 95.34% year-to-date (YTD).

Torrent Power shares hit a 52-week high of ₹1,906.55 apiece on the BSE on July 31, 2024, following the Q1 results. The stock had previously fallen to a 52-week low of ₹692.00 apiece on the BSE on October 26, 2023.

As per the exchange filing, MSEDCL will purchase this 1,500 MW energy storage capacity over a 40-year period from the pumped hydro storage plant, it notes.

Torrent Power informed exchanges that the company plans to meet this requirement through its upcoming pumped hydro storage facility in Maharashtra's Raigad district. Under the Pumped Hydro Energy Storage Facility Agreement (PHESFA), the company will provide a contracted capacity capable of 8 hours of scheduled discharge, with a maximum continuous discharge of 5 hours per day. MSEDCL will supply the energy required for charging the storage system, it adds.

“Increased penetration of Solar and Wind in electricity generation will create need for energy storage solutions for providing firm, reliable and dispatchable RE power,” the company states.

Torrent Power has identified several potential sites across various states for future PSP and has announced plans to develop 5 to 8 GW of such capacity, with an investment of ₹25,000 to ₹35,000 crore, the release adds.

Additionally, the company mentioned that it is exploring other green energy initiatives, including Green Hydrogen and Green Ammonia production projects.

Recently, Torrent Power announced its plan to achieve 10 gigawatts (GW) of installed renewable energy capacity by 2030, with an investment of ₹57,000 crore. The company also intended to establish a green ammonia production facility with a capacity of 1 lakh kilo tonnes per annum (KTPA) and an investment of ₹7,200 crore. The company projected that the investment would create around 25,000 jobs while presenting the plans to the Union Ministry of New and Renewable Energy at RE-Invest in Gandhinagar on Monday.

In a release issued on Monday, September 16, 2024, the company announced that it had signed a MoU with the Government of Gujarat to develop a 5 GW solar-wind hybrid project in the Dwarka District of Gujarat.

Earlier on September 3, 2024, the company signed a MoU with the Department of Water Resources, Government of Maharashtra, to establish PSP with a total capacity of 5,600 MW, down from the originally planned 5,700 MW.

solar-wind hybrid project

Torrent Power bags back-to-back orders; stock up 5%