JSW Energy plans ₹15,000 cr capex in FY25, eyes acquisitions in power sector

New Delhi: JSW Group subsidiary JSW Energy Ltd on Friday announced plans for a capital expenditure of ₹15,000 crore in the current financial year (FY25).

Addressing the shareholders at its annual general meeting, chairman and managing director Sajjan Jindal said the company is also looking for acquisitions in the power sector.

He reiterated the company's plans to invest a total ₹1.15 trillion to achieve its target of 20 GW renewable energy capacity and 40 GWh of battery storage capacity under its 'Strategy 2.0'.

"Our plan is to spend approximately ₹15,000 crore in the current fiscal 2025. Additionally, your company is also actively scouting for acquisition opportunities in the power sector," he said.

Jindal said JSW Energy is on track to commissioning ongoing projects for power generation, battery storage and green hydrogen production.

"The growth capital secured through the recently completed QIP strategically positions us to accelerate the execution of our returns accretive growth plans," he said.

In April, the company announced that it has successfully raised ₹5,000 crore through qualified institutional placements to accelerate its growth plans.

Currently, its total installed capacity stands at around 7.3 GW across thermal, hydro, solar and wind.

With additional renewable project bids of another 4 GW through auctions, JSW Energy’s current locked-in generation capacity has increased to 13.9 GW.

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“Your company has also secured energy storage projects of 3.4 giga watt hour which are currently in developmental stage. This was achieved on the back of a strong underlying growth in power demand, a robust bidding environment, the company’s superior execution capabilities and the strength of its balance sheet,” the CMD said.

Currently about 2.6 GW of capacity is under construction, and by the end of the fiscal, the installed capacity is expected to reach 10 GW installed.

Power prurchase agreements

Last month, JSW Neo Energy Ltd, a subsidiary of JSW Energy Ltd, signed power purchase agreements for 1,025 MW renewable power with Solar Energy Corp. of India Ltd (Sand 300 MW with Gujarat Urja Vikas Nigam Ltd.

Noting that the company has now expanded its footprint in the energy space beyond renewable power generation, Jindal said: "A large part of our growth and value is going to come from providing our customers complete energy solutions. As part of this strategic shift, we have embarked on FDRE (firm and dispatchable renewable energy) and hybrid projects, which are specifically designed to tackle the variability of renewable energy power, with a larger goal of providing holistic power solutions. Spanning across generation, storage and green hydrogen, our horizons and our total addressable market have truly expanded."

He said the company is venturing into equipment manufacturing for supply chain de-risking. The company had also been selected under the second tranche of the production linked incentive for solar module manufacturing.

At 2.54 PM, shares of JSW Energy on the BSE were trading at ₹733.85, higher by 1.21% from its previous close.

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