Rajasthan Cabinet approves formation of four joint ventures in energy sector
Deputy Chief Minister Premchand Bairwa, Minister of Industries and Commerce Rajyavardhan Singh Rathore and Minister of Parliamentary Affairs Jogaram Patel were informed about the decisions | Credit: X
The Rajasthan Cabinet on Saturday approved a proposal for the formation of four joint ventures in the power sector, which will work on projects in renewable and thermal power generation and transmission.
The state cabinet chaired by Chief Minister Bhajanlal Sharma also approved the development of metro projects in the state.
In addition to setting up joint ventures for renewable and thermal energy projects and electricity transmission projects, the cabinet has also approved the establishment of an infrastructure investment fund, an official statement said.
Deputy Chief Minister Premchand Bairwa, Minister of Industries and Commerce Rajyavardhan Singh Rathore and Minister of Parliamentary Affairs Jogaram Patel informed them of the decisions, the statement said.
Bairwa said that as per the Metro Rail Policy 2017, the proposal for setting up a joint venture between the central government and the state has been approved. This joint venture will be for the development, operation and implementation of the current and future metro rail projects in Rajasthan.
The joint venture can receive financial assistance (in the form of equity and loans) from the Centre for the costs of the metro project. Technical and administrative support will also be available for the metro projects.
Parliamentary Affairs Minister Patel said the government was making continuous efforts to make the state self-reliant in energy.
In accordance with the Memorandum of Understanding (MoU) signed on March 10, 2024, between the state government and various central government units, the proposals for setting up joint ventures with central government units were approved during the Cabinet meeting today, Patel said.
The share of state government enterprises in these joint ventures is 26 percent and that of central government enterprises is 74 percent.
Minister of Industry and Commerce Rathore said that two separate joint ventures will be set up between Coal India Limited and RVUNL. One of them will be a thermal project and the other a renewable energy project.
The minister said a joint venture between NTPC Green Energy and RVUNL will be formed to set up a renewable energy project including solar/wind/hybrid power of 25,000 MW. With this, an investment of Rs 1 lakh crore will be made in the state.
Patel said that the state government, while voting on the bill for the year 2024-25, had announced to bring an Infrastructure Investment Trust (InvIT) in the transmission corporation in accordance with the guidelines issued by the Union Ministry of Power. In accordance with this, Rajasthan Vidyut Prasaran Nigam Limited will constitute ‘InvIT’ and it will be registered with SEBI.
The proposal to authorise RVPN to monetise its operational transmission assets through ‘InvIT’ has also been approved by the Cabinet.
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First print: Aug 03, 2024 | 11:19 PM IST