DECEMBER 20239TOP STORIESGENSOL ENGINEERING WINS A RS 302 CRORE CONTRACT FROM MAHAGENCOGensol Engineering, a construction engineering firm, announced its successful acquisition of a contract valued at Rs 301.5 crore from Maharashtra State Power Generation Co Ltd (Mahagenco). This contract focuses on the establishment and activation of a solar power plant in Maharashtra. Gensol Engineering Ltd emerged as the winning bidder for the comprehensive project, encompassing the conceptualization, engineering, procurement, installation, testing, and commissioning of a cutting-edge 62 MWAC crystalline solar PV technology grid-connected solar PV power plant.The company, a part of the Gensol group of companies, is renowned for offering engineering, procurement, and construction (EPC) services for solar power plant development. Moreover, Gensol has expanded its horizons by establishing an electric vehicle manufacturing facility in Pune. This facility is dedicated to the development and production of electric three-wheelers and four-wheelers. In this way, Gensol Engineering demonstrates its commitment to sustainable energy and transportation solutions while significantly contributing to the renewable energy landscape in Maharashtra. INDIA IS EXPECTED TO GENERATE 18 PERCENT OF ITS ELECTRICITY FROM SOLAR ENERGYAccording to the International Energy Agency (IEA), their 2023 World Energy Outlook predicts a significant increase in solar energy's contribution to India's electricity generation. The report anticipates that by 2030, solar sources will account for 18 percent of India's electricity, a substantial jump from the current 6 percent. The IEA's outlook for the global energy landscape is also optimistic, with renewables, including solar and wind power, expected to supply half of the world's electricity by 2030. This shift is attributed to the remarkable growth of clean energy technologies like solar, wind, electric vehicles, and heat pumps. The report further projects a considerable surge in the number of electric cars on the roads, potentially reaching almost ten times the current count.The International Energy Agency (IEA) cautioned that despite progress, greenhouse gas emissions remain at levels insufficient to prevent global temperatures from exceeding the critical 1.5 degree Celsius threshold. In the case of India, the report specifically mentioned that solar energy is projected to increase its share in the country's electricity generation from the current 6 percent to 18 percent by 2030. India has set ambitious targets, aiming to achieve 500 gigawatts (GW) of non-fossil fuel-based installed capacity by 2030, which includes approximately 270 GW of solar capacity. As of August, India had already surpassed 70,000 megawatts in solar power generation capacity.The report also highlighted the implementation of policies in various countries aimed at promoting the diversification of supply chains for clean energy technologies. Notable examples include the Inflation Reduction Act in the United States, the Net Zero Industry Act in the European Union, and India's Production-Linked Incentives scheme. Furthermore, the report emphasized that India leads as the largest source of energy demand growth globally under the Stated Policies Scenario (STEPS), surpassing Southeast Asia and Africa. TOP STORIESCG POWER AND MURUGAPPA GROUP TO SETUP OSAT FACILITYCG Power and Industrial Solutions from Murugappa Group are setting up an Outsourced Semiconductor Assembly and Test (OSAT) facility in India with an application signed off by the Ministry of Electronics & Information Technology (MeitY).Both companies are believed to have poured in about Rs 6,592 crore ($791 million) in the course of five years, and the same is expected to be invested by subsidy, JV partners' equity contribution and debt, as required.Likewise, the company has already sought a subsidy and is awaiting approval.With regards to the subsidy and the project, the company revealed plans for a joint venture partnership involving technology providers or anchor customers. Currently, the development around it is already under discussion.Last month, CG Power and Industrial Solutions agreed on an investment of Rs 347 crore, which also meant for its ongoing project, eventually hoping for a capacity expansion of its various units.CG Power plans to expand its manufacturing capacity located at its Switchgears Division complex in Nashik for instrument transformers and condenser bushings, medium voltage switchgear, and GIS units by investing about Rs 155 crore.Additionally, it plans to expand its manufacturing capacity of large industrial machine (LIM) units at Mandideep, Bhopal. With the expansion, the company aims to increase the capacity of LIM up to 1,728 units per annum from 1,002 units per annum now. ONGC SIGNS PACT WITH REFINERS TO SELL CRUDE OILONGC, the leading producer of oil and gas in India, has entered into long-term agreements with refiners to sell the crude oil produced from Mumbai offshore fields at a premium to the global benchmark Brent. Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) have each inked agreements to purchase around 4.5 million tonnes of crude oil from Oil and Natural Gas Corporation (ONGC). According to corporate sources, the oil has been priced at the current Brent crude oil price + one percent.Brent, the world's best known benchmark for the raw material that is converted into fuels like petrol and diesel in refineries, is trading at $ 80 per barrel. As per the pricing in the term contracts, ONGC would get $ 80 plus USD 0.8 for the oil it will sell to HPCL and BPCL, as per economic times. ONGC's resources in the Arabian Sea, off the coast of Mumbai, yield 13­14 million tonnes of crude oil annually. A provision requiring the sale of oil from blocks given before 1999 to government-nominated clients, mostly state refiners, was eliminated by the government in June of last year. Producers like ONGC and Oil India were not receiving the greatest market price as a result of the previous norm.Following that modification to the regulations, ONGC began holding quarterly auctions for crude oil extracted from the western offshore fields of Panna/Mukta and Mumbai High.Refiners such as Indian Oil Corporation (IOC) were looking for discounts similar to those they received on Russian oil, sources said, even though the firm received a little premium in the first auction above Brent, the crude oil that its Mumbai offshore is most similar to in quality.
< Page 8 | Page 10 >