Reliance Power Limited is part of the Reliance Anil Dhirubhai Ambani Group. It was established to develop, construct and operate power projects in the Indian and international markets. Reliance Energy Limited, an Indian private sector power utility company and the Anil Dhirubhai Ambani Group promote Reliance Power.With its subsidiaries, it is developing 13 medium and large-sized power projects with a combined planned installed capacity of 33,480 MW.Reliance Natural Resources merged with Reliance Power in 2010, shortly after its initial public offering. In July 2014, Reliance Power acquired the entire 1,800 MW hydropower portfolio of Jaiprakash Associates for over 7px10,000 crore. Wikipedia.
News Article | November 11, 2015
In a clear sign of increasing financial competitiveness of renewable energy projects vis-a-vis conventional power plants, one of India’s leading private sector power generators has carved out all its renewable energy assets into a separate company. Tata Power has announced the launch of Tata Power Renewable Energy Limited as a separate company that will own and operate all the renewable energy assets of the parent company. Tata Power will transfer control of renewable energy assets to Tata Power Renewable Energy Limited. Upon the completion of the transfer, Tata Power Renewable Energy Limited will control the operational capacity of 720 MW and the under construction capacity of 250 MW. According to media reports, the new company will also look for equity investments and scout for candidates for acquisition. Tata Power is the second private sector generator in the last few months that has shifted away from conventional power technologies and towards renewable energy technologies. Earlier, Reliance Power, which operates one of the largest coal-based power plants in India, was reportedly planning to sell its coal mines in Indonesia. The company has been struggling to take several large-scale thermal power plants online. It was embroiled in a lengthy regulatory tussle for increasing the tariff of its Sasan-based ultra mega power plant. The company wants the tariff of the projects increased after prices of the coal it imports from Indonesia increased. Tata Power itself has had a long regulatory battle to get the tariffs of its Mundra-based 4 GW coal-fired power plant revised, again on account of higher coal prices from Indonesia and appreciation of the US dollar against the Indian rupee. Tata Power could possibly not have chosen a better time to field the new company. India’s conventional power sector is struggling with massive debts, both on the generator as well as the buyer side. Tariffs for renewable energy projects are increasing, while capital costs are falling, making them highly cost-competitive. Tata Power’s announcement came only days after the government announced a rescue package for the power distribution companies which are struggling with $65.3 billion debt. The government has directed banks not to provide any additional funding to these companies. The renewable energy sector, on the other hand, has received substantial support from the government. One of the most recent measures announced by the government was to remove taxes and charges levied on the inter-state transmission of power generated from renewable energy projects. Get CleanTechnica’s 1st (completely free) electric car report → “Electric Cars: What Early Adopters & First Followers Want.” Come attend CleanTechnica’s 1st “Cleantech Revolution Tour” event → in Berlin, Germany, April 9–10. Keep up to date with all the hottest cleantech news by subscribing to our (free) cleantech newsletter, or keep an eye on sector-specific news by getting our (also free) solar energy newsletter, electric vehicle newsletter, or wind energy newsletter.
News Article | February 15, 2015
India said cheaper credit along with foreign investment will help the world’s third-largest polluter fund an ambitious renewable energy program that would build green power plants faster than China. Power Minister Piyush Goyal’s comments shed some light on how the government expects India to afford targets outlined at a conference in New Delhi on Sunday for 170 gigawatts of clean energy by 2022. That would be a fivefold rise and exceed the total power capacity of most nations. India relies on dirty, coal-fired plants and has some of the planet’s most toxic air. “Interest rates will come down,” Goyal said on the sidelines of the conference, adding he sees a greater role for overseas funding sources in part as stability in the rupee cuts the cost of hedging currency risk. “A lot of international money is available for renewables. We need to tap that.” Prime Minister Narendra Modi, in his conference speech, said the clean-energy drive is part of a push to curb blackouts and give every Indian household electricity. While world leaders such as U.S. President Barack Obama back the effort to harness power from the sun, wind and water, finding the $200 billion Goyal estimates is needed remains an obstacle. “Who’s going to pay for all this?,” said Sunil Jain, the chief executive officer of Hero Future Energies. Indian banks “aren’t capitalized for this kind of lending,” he said. Modi’s administration announced plans at the conference, called RE-Invest, for renewables to account for 15 percent of India’s energy mix within a decade. It said banks have committed to finance more than 3 trillion rupees ($48 billion) of projects and that manufacturers intend to set up 60 gigawatts of equipment production capacity. State Bank of India, the country’s largest lender by assets, said it can finance 750 billion rupees by 2020 depending on the viability of the proposals. Lower hedging expenses could cut the total cost of overseas loans to 6 percent to 7 percent in the next two years, the power minister said. At home, the Reserve Bank of India left interest rates unchanged this month following an unscheduled cut in January to 7.75 percent after inflation eased. “The trend of reducing interest rates has already started and interest rates will come down,” Goyal said. Modi’s nine-month-old administration will try to support steps such as green bonds, he said, adding he’s confident that pension funds can be wooed into renewable investment. “We are developing a framework which will make sure policies are stable and that the bankability of renewable power purchase agreements are ensured,” Goyal said. Modi has moved clean energy up the national agenda since he took office in May. At the same time, the United Nations is pushing rich and poor countries alike to adopt targets in time for a climate summit in Paris in December. “If there is one nation that can show the world how to fight global warming, it’s India,” Modi told the conference. In November, China and the U.S. reached a landmark agreement to cap emissions, a step that India has resisted. China is the world’s largest renewable energy market. Adani Enterprises Ltd., Reliance Power Ltd. and SunEdison Inc. are among companies that have pledged to invest in India’s solar industry in recent weeks. While investment plans are multiplying, the question remains whether and how rapidly they can be implemented. Stressed assets at India’s banks, including soured debt and restructured loans, will rise to almost 13 percent of total advances by March 2016, the highest level since 2001, forecaster India Ratings & Research Pvt. estimates. “For the foreseeable future, India will be reliant on coal,” Arvind Subramanian, the chief economic adviser in India’s Finance Ministry, said at the conference. The focus on renewables is taking funds away from efforts to find less-polluting ways to burn coal, he said. Goyal said the government envisages a role as a “facilitator” in India’s renewable power expansion, rather than as part of the business model “Banks will provide their funds privately to businesses,” he said.
News Article | March 5, 2015
Nine Indian companies, including Bosch, Aurobindo Pharmaceuticals and Yes Bank, will be included in the large cap segment in FTSE Group's Asia Pacific (excluding Japan) Index later this month. Other companies are Eicher Motors, Motherson Sumi Systems, Zee Entertainment Enterprises, Godrej Consumer Products, Shree Cements and Cadila Healthcare. "The changes will be effective after the close of business on Friday, March 20, 2015 (on Monday, March 23)," FTSE Group, a global provider of stock market indices, said in a statement yesterday. With the inclusion in the index's large cap segment, these stocks are expected to see more foreign fund flows. Four Indian companies -- NHPC, Reliance Communications, Reliance Power and Jindal Steel & Power -- have been excluded from the index's large cap segment. FTSE Asia Pacific ex Japan Index is one of a range of indices designed to help investors to benchmark their Asia Pacific investments. This index comprises large and mid cap stocks providing coverage of the developed and emerging markets in Asia Pacific excluding Japan. It is derived from the FTSE Global Equity Index Series (GEIS), which covers 98 per cent of the world's investable market capitalisation, according to FTSE Group.
News Article | February 12, 2015
JAIPUR: Anil Ambani-led Reliance Power announced it has signed a memorandum of understanding with the Rajasthangovernment to develop a 6,000 MW solar park in the state over the next 10 years. "Reliance Power signs MoU with the government of Rajasthan to develop 6,000 MW of solar power projects," the company said in a release. The MoU was signed by state Chief Minister Vasundhara Raje and Reliance Power chairman Anil Ambani. Raje also dedicated Reliance Power's 100 MW Concentrated Solar Project (CSP) in Rajasthan, at Pokhran in Jaisalmer district, to the nation. Rajasthan Sun Technique Energy, a wholly-owned subsidiary of Reliance Power, was awarded the CSP project in 2010 based on a international competitive bidding, the company said. "The CSP plant is expected to generate about 250 million kilowatt hours of clean and green energy annually, equivalent to consumption of 230,000 households," the statement said. Reliance Power has the largest portfolio of power projects in the private sector based on coal, gas, hydro and renewable energy with an operating portfolio of nearly 6,000 MW, it added. Also Read: Star India To Acquire Broadcast Business Of Maa TV Anil Ambani's Reliance Group Forays Into Defence
News Article | February 24, 2015
As Prashant Lokhande arrived for work at India’s oil ministry two months ago, he discovered his office door open and the lock broken. Lokhande, a deputy secretary who helps oversee oil and gas exploration in the ministry, found nothing missing from his office. He immediately reported the incident to his bosses, according to two officials in the ministry who asked not to be identified discussing details of the case. The incident was by far the most serious sign that the ministry had a leak, triggering a probe that has led to 14 arrests, including employees of energy companies owned by some of India’s richest men. Similar to Chinese President Xi Jinping’s anti-graft campaign, Indian Prime Minister Narendra Modi’s moves to stamp out corruption may redefine relationships between big business and government bureaucrats. “This investigation could completely change the way ministries function, not just the oil ministry, but it could spill over to other ministries as well,” said Kamlesh Kotak, Mumbai-based head of research at Asian Markets Securities Pvt. “Things can get nasty and heads may roll at senior levels. The investigations would go deeper, and some companies will face challenging times.” Among those held are officials from billionaire Mukesh Ambani’s Reliance Industries Ltd., Essar Oil Ltd., Cairn India Ltd., Jubilant Energy NV and Reliance Group, run by Mukesh’s brother Anil, according to police spokesman Rajan Bhagat. Since news of the scandal broke, shares of Reliance Industries have slid 6.3 percent. Essar Oil has declined 4 percent, while Cairn India has lost 5.6 percent. The investigation is spreading. Police arrested a man in Delhi’s Dwarka neighborhood and found forged identity cards for the ministries of power and coal, Bhagat said by phone today. He declined to say where he worked. The police tracked him after interrogations revealed he was involved in procuring official documents from the two ministries, according to a police statement. They found copies of various secret documents with him. A separate case has been registered, according to the statement. An additional five people were detained for questioning yesterday and a defense ministry worker was arrested today, he said. The ministry had suspected documents were being leaked “for a while,” Oil Minister Dharmendra Pradhan told reporters on Saturday, without elaborating. Bureaucrats in the oil ministry monitor billions of dollars of investments, crude imports, fuel pricing and subsidies, so any stolen documents could give companies an unfair advantage. The police have a list of as many as 60 people who frequently had phone conversations with the arrested, according to a police official directly involved in the case. They will be questioned along with more officials from the oil ministry, the person said. One morning about five months before Lokhande found his door broken, a confidential document from the office of the oil exploration department’s chief was found in a photocopier, the officials said. An internal probe at the time turned up nothing. The broken door prompted the ministry to get the police involved. Lokhande didn’t answer two calls to his mobile phone, and an assistant at his office said he wasn’t available. Police officers wearing suits and ties were sent to the ministry to pose as company officials, the police official said. They asked where they could get confidential documents and also tracked people seen often in the hallways. In the meantime, CCTV cameras were installed throughout the ministry. Police noticed they were sometimes turned off for a couple of hours after 8 p.m., the person said. After a monthlong investigation, they had enough to pounce. On the night of Feb. 17, they caught three suspects -- two of whom formerly worked at the oil ministry -- trying to steal secret documents. Bhagat declined to comment on details of the investigation. Others who were arrested include ministry officials, a journalist running a website and a consultant, with charges ranging from trespassing to theft, Delhi Police Commissioner Bhim Sain Bassi said last Friday, Feb. 20. Police are considering charges under the Official Secrets Act, which could lead to a prison term of as many as 14 years, he said. According to the police, the thefts worked like this: The officials would open offices with duplicate keys, disable any CCTV cameras and photocopy every document sitting on the desks. They then sold them to private petroleum companies and consultants. The rooms that were raided included the offices of the director for exploration and the joint secretary for refineries. The police took locks with them as evidence, leaving gaping holes in the doors. New locks have now been installed. The documents the police recovered included details of exploration sites, natural gas pricing and the ministry’s arbitration with Reliance Industries, the Indian Express reported Feb. 21, citing unidentified police sources. Billionaires who own companies at the center of the investigation include Mukesh Ambani, India’s wealthiest man, and Anil Ambani. Billionaire brothers Shashikant and Ravikant Ruia own Essar, while Anil Agarwal’s Vedanta Resources Plc controls Cairn India Ltd. Reliance Industries is conducting an internal inquiry, Tushar Pania, a spokesman for the Mumbai-based company, wrote in an e-mail on Feb. 21. An Essar employee is being held and the company is cooperating with authorities, Manish Kedia, an Essar spokesman in Mumbai, said in an e-mail on Sunday, Feb. 22. Reliance Power Ltd. is not aware of the circumstances leading to the arrest of its employee and will cooperate with investigators, Reliance Group said in a Feb. 23 e-mail. E-mails to Cairn India spokesman Arun Arora and corporate communications team of Jubilant Energy NV remained unanswered. Allegations of graft and crime have long shadowed Indian officialdom, including past scandals over the sale of airwaves and the allocation of coal deposits. Modi’s party swept to power last May partly on a pledge to fight corruption and improve the efficiency of the civil service.