Gujarat Industries Power Company Limited (GIPCL) has achieved a significant milestone in its expansion plans, securing crucial approvals for a new lignite-based power plant project in Valia, Gujarat. The company announced that it has received the green light from both the Gujarat Government and Gujarat Urja Vikas Nigam Limited (GUVNL) for the establishment of a 700-750 MW power plant.

Project Approval and Power Purchase Agreement

The Energy and Petrochemicals Department of the Government of Gujarat has approved GIPCL's proposal to set up the lignite-based power plant under Section 62 of the Electricity Act, 2003, on a "nomination basis". This approval marks a critical step forward for the project.

In a further boost to the project's viability, GUVNL's Board has granted in-principle approval for the procurement of power from the proposed 700 MW plant. The power purchase arrangement is set for an initial period of 25 years, providing long-term stability for the project.

Regulatory Hurdles Ahead

While the project has cleared significant hurdles, it still awaits a crucial approval from the Gujarat Electricity Regulatory Commission (GERC). This regulatory green light is essential for the final go-ahead of the power purchase agreement with GUVNL.

Strategic Importance

The new power plant represents a substantial addition to GIPCL's generation capacity and underscores the company's commitment to meeting Gujarat's growing energy needs. Lignite, a type of coal, is abundantly available in Gujarat, making it a strategic choice for power generation in the region.

GIPCL's move to expand its lignite-based power generation capacity aligns with the state's energy policy and could potentially contribute to more stable and locally-sourced power supply in Gujarat.

As the project progresses, GIPCL has committed to providing further updates to its stakeholders and the public. The company's strategic expansion could have significant implications for both its business growth and the energy landscape of Gujarat.

Gujarat Industries Power Company Ltd (GIPCL) has announced key dates and details for its upcoming 40th Annual General Meeting (AGM) and dividend distribution. The company's Board of Directors has recommended a dividend of Rs. 4.09 per share, subject to shareholder approval at the AGM.

AGM and Dividend Details

The 40th AGM is scheduled for September 20, at 1:00 PM, and will be conducted through video conferencing. The company has set the book closure dates from September 13 to September 20 for determining shareholder eligibility for the dividend.

Key Agenda Items

The AGM will address several important matters, including:

1. Adoption of audited financial statements
2. Declaration of dividend
3. Appointment of directors
4. Appointment of statutory and secretarial auditors

Director Appointments and Re-appointments

Notable appointments include:

• Dr. Jayanti S. Ravi, IAS, as Additional Director and Chairperson
• Re-appointment of Shri Jai Prakash Shivahare, IAS, and Shri Kanyo Sadhuram Badlani as directors

Auditor Appointments

The company proposes to appoint:

• K C Mehta & Co. LLP as statutory auditors for a five-year term
• TNT & Associates as secretarial auditors for a five-year term

E-voting Information

GIPCL has arranged for remote e-voting facilities for shareholders:

• E-voting period: September 17-19
• Cut-off date for e-voting eligibility: September 12

Cost Auditor Remuneration

The company seeks shareholder ratification for the remuneration of Rs. 1.55 lakh to be paid to Dalwadi and Associates, the appointed cost auditors.

This AGM marks significant corporate actions for Gujarat Industries Power Company, including the proposed dividend payout and key appointments, reflecting the company's commitment to shareholder value and corporate governance.