The Indian Renewable Energy Development Agency Ltd. (IREDA) has secured in-principle approval for an equity investment of ₹290 crore for up to a 10% stake in special purpose vehicles (SPVs) in partnership with state-run hydropower company SJVN Ltd. The investment will support the establishment of a 900 MW hydro-electric project in Nepal.
In a statement released, IREDA announced, ‘The Board of Directors of Indian Renewable Energy Development Agency Limited (IREDA) in its meeting held today, July 16, 2024, has accorded in-principle approval for equity investment of up to 10% shareholding each in GMR Upper Karnali Hydro Power Limited, Nepal, and Karnali Transmission Company Pvt. Ltd., Nepal (aggregating to ₹290 crore for both the SPVs), in association with SJVN Ltd., for setting up 900 MW Upper Karnali Hydro-Electric Power Project in Nepal.’
The SPVs, GMR Upper Karnali Hydro Power Limited and Karnali Transmission Company Pvt. Ltd., currently have GMR and the Nepal Electricity Authority, Government of Nepal, as existing shareholders. The equity investment by IREDA will be contingent upon approval from the central government and other statutory and regulatory authorities.
This strategic move aligns with IREDA’s broader vision of achieving Maharatna PSU status by the end of the financial year 2030, for which it has outlined ambitious growth targets.
