HYDERABAD: Predicting a wave of consolidation in the renewable energy sector, Mytrah Energy, a city-based renewable energy company on Tuesday said it was open to acquisitions in the sector.
The firm, listed on the AIM of London Stock Exchange, has a portfolio of about 2000 mw of projects completed, and under development. Of this, 1500 mw is in the wind energy segment and 500 in the solar power, which the company forayed into about two years ago.
Vikram Kailas, Chief Executive Officer of Mytrah Energy, said the company is now well poised to take up both organic growth and explore opportunities for inorganic growth through acquisitions. “However, at this point, we do not want to comment on the moves.”
While speaking to BusinessLine Kailas told, “the company is looking at the next phase of growth where it would be able to add about one giga watt (1000 mw) of new capacity in a year given the huge unfolding opportunities to develop projects in India.”
“In the remaining part of the current financial year, tenders of over 4000 mw for wind projects and 2000 mw of solar projects are expected, where the firm will actively get involved,” he said. Referring to recent low bids witnessed in the solar segment, Kailas said that these projects may have to seek additional 10 per cent, which these companies would have to bear post the GST implementation.
The prices in the wind energy and solar segment are likely to settle down at about ₹3.50 and ₹3.50 to ₹4 respectively. This augurs well for the sector growth, he said.
The country’s renewable energy sector is at an inflection point poised for next phase of growth. However, the capacity addition in the wind sector has been adversely affected during the current year.
Smaller players are getting marginalised, and are unable to take the competition from bigger established players. This will lead to a phase of consolidation in the sector.