SJVN inks pact with Sikkim Urja Ltd to trade 180 MW units

After a low day yesterday, the bulls of the stock market were ready for a run. Today, both the Sensex and Nifty have rebounded, registering gains of 0.71% and 0.68%, respectively.

On Friday, the shares of SJVN Limited soared by 0.21%, this traction was garnered as a result of the new MOU.

The Company has taken a significant step towards expanding its portfolio by signing a MOU with Sikkim Urja Limited (SUL). This deal allows the Company to trade 180 MW of hydro power from SUL’s Teesta-III hydroelectric project in Sikkim to distribution licensees and open access consumers. It marks the Company’s maiden venture in the state of Sikkim.

The Central Electricity Regulatory Commission has granted the Company a Category-I power trading license for interstate trading of electricity. This license will not only enhance the Company’s capabilities in addressing seasonal and regional variations in demand and supply but also fulfill the increasing power supply demands.

Currently, the Company’s project portfolio stands at an impressive 55,814 MW. They are on a rapid trajectory to achieve their Shared Vision of reaching 5,000 MW by 2023-24, 25,000 MW by 2030, and an ambitious 50,000 MW installed capacity by 2040.

SJVN is also playing a pivotal role in helping achieve the target of sourcing 50% of energy from non-fossil fuel-based resources by 2030.

SJVN is involved in both electricity generation and providing consultancy services for hydro-power project.

Company Profile:

Formerly known as Satluj Jal Vidyut Nigam, SJVN is an Indian government-owned enterprise focused on the generation and transmission of hydroelectric power.

In the ownership structure of the company, the President of India commands a significant stake, specifically 59.92%. Additionally, the Governor of Himachal Pradesh holds a substantial stake of 26.85% in SJVN, further contributing to the collective ownership composition of the company. 

The stock has experienced significant buying activity, soaring by over 159% in the past 3 years.

Keep a close eye on this trending stock.  

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.