Insolation Energy Limited (IEL) has announced a significant expansion of its solar power portfolio through its subsidiaries. The company's wholly-owned subsidiary, Insolation Green Energy Private Limited, and three other subsidiaries have been awarded contracts for solar power projects totaling 260.45 MW under the PMKUSUM Component A Scheme.

Major Contract Awards

Insolation Green Energy Private Limited, a wholly-owned subsidiary of IEL, has received Letters of Intent (LOI) for 226.45 MW of solar power plants from Jaipur Vidyut Vitran Nigam Limited (JVVNL) and Ajmer Vidyut Vitran Nigam Limited (AVVNL). The projects span 135 sites across Rajasthan, with varying tariff rates:

This contract is valued at approximately Rs. 750.00 crores, including GST.

Additionally, three other subsidiaries - Insolation Green Infra Private Limited, MGVI Green Infra One Private Limited, and MGVI Green Infra Two Private Limited - have been awarded Letters of Award for 34 MW of solar power plants by Jodhpur Vidyut Vitran Nigam Limited (JDVVNL). These projects are spread across 17 sites with tariffs ranging from Rs. 2.65 to Rs. 3.02 per unit. The investment required for these projects is approximately Rs. 113.00 crores, including GST.

Project Details

The scope of work for all these projects includes:

• Design, survey, supply, installation, testing, and commissioning
• 25-year operation and maintenance contract for grid-connected solar power plants
• Setting up associated 11 KV lines to connect the plants with various 33/11 KV sub-stations
• Implementing remote monitoring systems (RMS) for the solar power plants

Financial Impact

The combined projects are expected to generate substantial revenue for Insolation Energy and its subsidiaries:

• The 226.45 MW projects are projected to generate 36.23 crore units annually, with an estimated annual revenue of Rs. 98.47 crores.
• The 34 MW projects are expected to generate 5.44 crore units annually, producing a total annual revenue of Rs. 14.74 crores.

Execution Timeline

All projects are slated for execution in the financial year 2026-27, positioning Insolation Energy for significant growth in the coming years.

Strategic Expansion

In preparation for these large-scale projects, Insolation Green Energy Private Limited has incorporated five new wholly-owned subsidiaries as special purpose vehicles (SPVs) for setting up solar power plants:

1. DEGP Green Infra Private Limited
2. MJEV Green Infra Private Limited
3. EGPN Green Infra Private Limited
4. PHDJ Green Infra Private Limited
5. VJMG Green Infra One Private Limited

This strategic move demonstrates Insolation Energy's commitment to expanding its presence in the renewable energy sector and contributing to India's clean energy goals under the PMKUSUM scheme.

The substantial project pipeline not only strengthens Insolation Energy's position in the solar power market but also aligns with the national objective of increasing solar power generation capacity. As these projects come online, they are expected to make a significant contribution to the country's renewable energy targets while providing long-term, stable revenue streams for the company.

Insolation Energy Limited has announced significant expansions in its solar energy business through its wholly-owned subsidiary, Insolation Green Energy Private Limited. The company has incorporated multiple Special Purpose Vehicles (SPVs) for solar power plant development and secured a substantial contract under the PMKUSUM Component A Scheme.

New Solar Power SPVs

Insolation Green Energy Private Limited, a wholly owned subsidiary of Insolation Energy Limited, has incorporated five new wholly-owned subsidiaries on September 15. The new entities are:

• VJMG Green Infra One Private Limited
• DEGP Green Infra Private Limited
• MJEV Green Infra Private Limited
• EGPN Green Infra Private Limited
• PHDJ Green Infra Private Limited

Each subsidiary was established as a special purpose vehicle for setting up solar power plants with an authorized share capital of Rs. 1,00,000 divided into 10,000 equity shares of Rs. 10 each.

The primary objectives of these SPVs include:

• Solar power plant development, erection, installation, and construction
• Operation and maintenance of solar power facilities
• Consultancy services for renewable energy power plants
• Design, supply, testing, and commissioning of rooftop solar photovoltaic power projects

The companies are yet to commence business operations.

Major Contract Award under PMKUSUM Scheme

Insolation Green Energy Private Limited has been awarded Letters of Intent (LOIs) for a total of 226.45 MW of solar power plants under the PMKUSUM Component A Scheme. The contracts were awarded by Jaipur Vidyut Vitran Nigam Limited (JVVNL) and Ajmer Vidyut Vitran Nigam Limited (AVVNL).

Key details of the contract include:

• 20 sites from JVVNL and 115 sites from AVVNL
• Design, survey, supply, installation, testing, and commissioning of grid-connected solar power plants
• Operation and maintenance for 25 years from the Commercial Operation Date (COD)
• Installation of associated 11 KV lines and remote monitoring systems

The project involves a substantial investment of approximately Rs. 750.00 crore (including GST) for setting up the 226.45 MW of solar power capacity.

Financial Impact

The PMKUSUM contract is expected to generate significant revenue for Insolation Energy. Based on the varying tariff rates for different sites, the annual revenue projection is as follows:

The combined annual revenue from these projects is estimated at Rs. 98.47 crore, showcasing the substantial scale of this contract for Insolation Energy.

These developments mark a significant expansion in Insolation Energy's solar power portfolio and underscore the company's growing presence in India's renewable energy sector. The creation of multiple SPVs and the securing of a major contract under the PMKUSUM scheme position the company for continued growth in the solar energy market.