Crompton Greaves Consumer Electricals Limited has announced a significant development in its renewable energy business. The company has secured a contract for solar systems valued at approximately ₹42.40 million (₹4.24 crore) from Madhya Pradesh Urja Vikas Nigam Limited.

Contract Details

The order involves the design, manufacture, supply, transport, installation, testing, and commissioning of Off-grid DC & AC Solar Photovoltaic Water Pumping Systems (SPWPS). These systems will be installed with capacities ranging from 2 HP to 7.5 HP, specifically:

• 2 HP systems
• 3 HP systems
• 5 HP systems
• 7.5 HP systems

Project Scope and Significance

This contract is part of the Component-B of PM KUSUM B scheme, which is being implemented in Madhya Pradesh under the name 'PM Krishak Mitra Surya Yojana'. The project aims to promote solar-powered agricultural pumps, contributing to sustainable farming practices and renewable energy adoption in the state.

Key Points of the Order

Company Disclosure

Crompton Greaves has voluntarily disclosed this information as a measure of good corporate governance, despite the order value not being considered material under SEBI regulations and the company's Materiality Policy.

This contract marks a positive step for Crompton Greaves in the renewable energy sector, particularly in solar-powered agricultural solutions. It underscores the company's commitment to sustainable technologies and its ability to secure government contracts in this growing field.

As the renewable energy sector continues to expand in India, such projects are likely to play a crucial role in the country's transition towards cleaner energy sources and sustainable agricultural practices.

Crompton Greaves Consumer Electricals Limited (Crompton) has secured significant orders for solar water pumping systems in two states, further strengthening its position in the renewable energy sector.

Maharashtra Contract

Crompton received a Letter of Empanelment from Maharashtra State Electricity Distribution Company Limited (MSEDCL) for an order worth approximately ₹49.00 crore (excluding GST). This contract involves:

• 1,884 off-grid solar photovoltaic water pumping systems
• Part of the PM Kusum Scheme B (Mangel Tyala Saur Krushi Pump Yojana)
• Systems in 3 HP, 5 HP, and 7.5 HP capacities
• 5-year warranty, maintenance, and Remote Monitoring System (RMS) implementation
• 60-day completion timeline

Madhya Pradesh Contract

In addition, Crompton has been awarded a contract by Madhya Pradesh Urja Vikas Nigam Limited, valued at approximately ₹14.98 crore (excluding GST). This order includes:

• 452 off-grid Solar Photovoltaic Water Pumping Systems
• Part of Component-B of the PM KUSUM B scheme (implemented as PM KrishakMitra Surya Yojana)
• Systems in 2HP, 3HP, 5HP, and 7.5HP capacities
• 120-day completion timeline

Strategic Importance

These orders significantly bolster Crompton's presence in the renewable energy sector, particularly in solar-powered agricultural solutions. They align with India's push towards sustainable energy practices in agriculture and showcase Crompton's capability in delivering large-scale solar projects across multiple states.

Disclosure and Compliance

Crompton has disclosed these contracts in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has confirmed that these contracts do not fall under related party transactions, and none of its promoter groups or group companies have any interest in MSEDCL or Madhya Pradesh Urja Vikas Nigam Limited.

These orders not only represent substantial business opportunities for Crompton but also contribute to the broader goal of promoting clean energy solutions in India's agricultural sector.