GAIL, RVUNL Launch 1 GW Renewable Push in Rajasthan

• GAIL and RVUNL join forces for 1 GW renewable push in Rajasthan, driving India's green energy future and diversifying energy portfolios.

GAIL India Ltd and Rajasthan Rajya Vidyut Utpadan Nigam Limited (RVUNL) have partnered to develop 1 GW of renewable energy projects in Rajasthan, comprising 750 MW of solar and 250 MW of wind capacity. This joint venture, announced on August 5, marks GAIL's strategic shift from hydrocarbons and aids RVUNL in diversifying its coal-and-gas-heavy portfolio. The collaboration aligns with India's goal of achieving 500 GW of non-fossil energy by 2030.

The projects will integrate with RVUNL's existing gas-fired stations, enhancing energy stability and reducing operational fluctuations. GAIL will acquire equity to achieve equal ownership, with project-specific SPVs planned for each site. Initial project locations are being identified near Jaisalmer and Barmer, with the first solar park expected to reach financial close by 2026. This initiative supports GAIL's diversification and potential green-hydrogen ventures amid pressures on its gas transmission business.

How will GAIL and RVUNL's partnership impact India's renewable energy goals by 2030?

• Accelerates progress towards India's target of 500 GW of non-fossil energy capacity by 2030.
  
• Enhances energy security and stability by integrating renewable projects with existing gas-fired stations.
  
• Diversifies energy portfolio, reducing reliance on coal and gas, and promoting cleaner energy sources.
  
• Encourages investment and development in Rajasthan, potentially boosting local economies and job creation.
  
• Supports GAIL's strategic shift towards renewable energy and potential green hydrogen initiatives.
  
• Contributes to reducing carbon emissions and meeting international climate commitments.
• Demonstrates a successful public-private partnership model that could inspire similar collaborations in the renewable sector.