GAIL and RRVUNL Unite for 1 GW Hybrid Energy Push in Rajasthan – EQ
In Short : GAIL and RRVUNL have signed an MoU to form a joint venture aimed at developing 1,000 MW of renewable energy projects in Rajasthan—comprising 750 MW solar and 250 MW wind. The venture will also manage RRVUNL’s gas-based power plants. This collaboration seeks to deliver round-the-clock clean energy by integrating gas and renewables through hybrid solutions.
In Detail : GAIL (India) Limited and Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL) have signed a Memorandum of Understanding (MoU) to explore the formation of a joint venture company. This partnership aims to spearhead the development of large-scale renewable energy projects in Rajasthan.
Under the proposed venture, the joint entity will be tasked with managing and optimizing RRVUNL’s existing gas-based power stations located in Dholpur and Ramgarh, with capacities of 330 MW and 270.5 MW, respectively. These plants will be transferred to the newly formed company.
In addition to handling gas assets, the joint venture plans to develop approximately 1,000 MW of renewable energy capacity. This includes 750 MW of solar and 250 MW of wind energy projects to be set up on suitable land parcels across Rajasthan.
Both GAIL and RRVUNL will hold equal equity in the company, with each nominating three directors to the board. The initial capital structure includes an authorised and paid-up capital of ₹1 million, with equity shares priced at ₹10 each.
The collaboration is structured to ensure long-term commitment, with a five-year lock-in period and the right of first refusal in case either party wishes to exit or transfer equity. Detailed feasibility studies will be conducted before the final formation of the joint venture.
The project aims to create a hybrid power generation model that integrates gas-based and renewable sources. This model is expected to deliver reliable round-the-clock (RTC) clean energy, supporting both industrial and residential electricity demands in Rajasthan.
GAIL’s extensive natural gas network in Rajasthan will support the implementation of the joint venture. The company already provides gas to industries in Bhiwadi, Neemrana, Kota, and Jaisalmer, along with city gas distribution in several districts.
For RRVUNL, this partnership is an opportunity to enhance the performance and reach of its power portfolio. By joining forces with GAIL, it aims to accelerate the transition to cleaner, more sustainable power generation models in the state.
This joint venture reflects a growing trend of public sector collaboration to build integrated energy solutions. If successful, it could become a model for future hybrid energy systems combining traditional and renewable resources across India.
