REC Power Development and Consultancy and BHEL have reached an initial agreement to establish a special purpose vehicle (SPV) to build utility-scale renewable energy projects. Utility-scale renewable energy projects are those that have a capacity of 10 megawatts or more.
REC Power Development and Consultancy Limited (RECPDCL) is a completely owned subsidiary of the state-owned company REC Ltd. According to the announcement, the SPV will benefit from BHEL's core engineering knowledge as well as REC's infrastructure investment expertise. It will focus on meeting the energy needs of the commercial and industrial (C&I) segment, with an initial capacity of 1 GW that would be scaled further.
"This collaboration brings together our extensive experience in the renewable energy sector with BHEL's proven expertise in manufacturing and engineering. This SPV will play a crucial role in achieving India's ambitious renewable energy targets and contribute to a cleaner and greener future," REC Chairman and Managing Director Vivek Kumar Dewangan said.
BHEL Chairman and MD Koppu Sadashiv Murthy stated that there are numerous potential in the RE market for both enterprises to leverage their combined expertise to meet the government's green targets.
RECPDCL provides expert and value-added advisory services to power utilities across the country, including 41 Power Distribution Companies (Discoms) and four cooperative societies in 27 Indian states.
