Torrent Power will supply 8.5 MW of solar power to the production units of The Lakshmi Mills (TLMCL), a yarn and fabric company based in Coimbatore, Tamil Nadu, through open access.

Torrent Power, Torrent Urja 17, and The Lakshmi Mills Company have signed a Share Subscription and Shareholders’ Agreement under which Lakshmi Mills will hold at least 26% of the aggregate equity shares of TU17.

TU17 was incorporated by Torrent Power to undertake the business of generation, transmission, distribution, purchase, procurement, sale, trading, and import and export of all forms of power, including non-conventional and renewable energy.

The transaction is done on an arm’s length basis. Both parties will receive the company’s equity shares at a face value of ₹10 (~$0.12) each. Ordinary equity shares will go to Torrent Power, and Class A equity shares will be issued to Lakshmi Mills.

Businesses in the commercial and industrial segment are increasingly procuring renewable energy through captive, group captive, and open access agreements with developers to bring down their energy costs and make their operations more sustainable.

The energy-intensive textiles sector, too, has turned to renewable energy to reduce its emissions. Several states offer incentives for textile units to set up solar projects for captive use.

Mercom India has been hosting its third C&I Clean Energy Meet series in several cities. The next event is scheduled for November 15, 2024 in Bhubaneswar. These events help C&I units find optimum solutions for purchasing low-cost, reliable, clean power and learn how India’s energy market is evolving. They can hear from industry leaders and experts on seamlessly transitioning to clean energy while navigating technological and financial challenges.

Torrent Power recently received a letter of intent from the Maharashtra State Electricity Distribution Company (MSEDCL) to procure 1,500 MW/12,000 MWh energy storage capacity from a pumped hydro storage project.