RMC Switchgears Limited receives LOA from Rajasthan Government for rooftop solar systems

RMC Switchgears Limited has received a Letter of Acceptance (LOA) from the Government of Rajasthan for the installation of rooftop solar systems with an aggregate capacity of 50 MW across State Government Buildings in Jaipur and Dausa.

Under this contract, RMC will be responsible for the design, supply, erection, and commissioning of rooftop solar projects on state government and government undertaking buildings in Jaipur and Dausa. The project will be executed under the Hybrid Annuity Mode (HAM), ensuring long-term financial sustainability.

Valued at Rs. 320 Crore (including GST), the LOA comprises a one-time revenue opportunity of Rs. 229 crore and recurring revenue of Rs. 91 Crores over the next 25 years against O&M which establishes a steady long-term income stream for RMC through O&M services over the project's lifecycle.

This order marks a significant milestone for RMC, further solidifying its role in India's clean energy transition. In its push for renewable energy, Rajasthan has set a vision to power all state governments and buildings that use solar energy. By securing this order, RMC is well-positioned to capitalise on this vast opportunity, providing sustainable energy solutions while contributing to India's renewable energy targets. This project aligns with RMC's long-term strategy of expanding its Solar EPC and IPP footprint, strengthening its presence in the country's evolving clean energy sector. The company remains dedicated to utilising its expertise and resources to deliver impactful, sustainable solutions that drive energy efficiency and empower communities.

Commenting on the development, Mr. Ankit Agrawal, CEO and Whole-Time Director of RMC Switchgears Limited, said: "This LOA marks a significant step in RMC''s journey towards expanding its Solar EPC footprint and supporting Rajasthan's ambitious clean energy transition. With the state committed to powering all government and public sector buildings with solar energy, this project underscores our ability to deliver large-scale, sustainable solutions. It also reinforces the strategic rationale behind our investment in solar module manufacturing, ensuring better execution efficiency and long-term value creation. As we continue to scale our renewable energy portfolio, this project brings us closer to realising our 'Vision 2030' goals while contributing meaningfully to India's renewable energy objectives."

Shares of RMC Switchgears Ltd was last trading in BSE at Rs. 547.30 as compared to the previous close of Rs. 545.25. The total number of shares traded during the day was 35125 in over 168 trades.

The stock hit an intraday high of Rs. 558.00 and intraday low of 518.00. The net turnover during the day was Rs. 18866375.00.

Source : Equity Bulls

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