New Delhi [India], August 8 : GAIL (India) Limited and Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL) have signed a non-binding Memorandum of Understanding (MoU) to optimize the operations of RRVUNL's gas-based power plants in Rajasthan, the company said in a statement.
The agreement between GAIL and RRVUNL is aimed at exploring the possibility of transferring RRVUNL's gas-based power plants located in Dholpur and Ramgarh, Rajasthan, to a proposed Joint Venture Company (JVC) between the two entities, as per the statement.
In addition to optimising these plants, the partnership will focus on setting up around 1,000 MW of solar and wind projects on suitable land parcels across the state.
This initiative is expected to create opportunities for Round the Clock (RTC) power supply, ensuring consistent energy availability, the statement added.
As pert of the agreement, before forming the JVC, both parties will conduct detailed due diligence and feasibility studies to establish the techno-commercial viability of each project.
GAIL, a Maharatna Public Sector Undertaking under the Ministry of Petroleum and Natural Gas, is India's leading natural gas transmission and distribution company.
With a natural gas pipeline network of approximately 1,090 km in Rajasthan, GAIL supplies gas to industrial customers in regions including Bhiwadi, Neemrana, Khuskhera, Kota, Jaisalmer, and Chittorgarh.
GAIL also provides gas to 19 Authorised City Gas Distribution entities, serving residential, commercial, small industrial, and transport sectors across various districts in Rajasthan.
Additionally, GAIL operates a 1,427 km long Jamnagar-Loni LPG pipeline, with a significant portion of the pipeline operational within Rajasthan.
GAIL's contributions extend beyond energy, as it also supports the Jal Jeevan Mission (JJM) in Rajasthan by supplying polymers for manufacturing HDPE pipes, and ensuring tap water supply to rural households.
The Rajasthan government's energy unit, RRVUNL is responsible for the development and operation of power projects in the state. The company continues to explore opportunities to secure power to meet Rajasthan's growing energy demands.
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