Reliance Power shares extended their rally for the 11th consecutive session on Thursday, hitting a 5% upper circuit at ₹53.65 per share—their highest level since January 2018. The stock has surged 71% during this period, fueled by the company’s transition to being nearly debt-free and its aggressive expansion into the renewable energy sector, boosting investor confidence on Dalal Street.
As a part of its growth plans, the company, on Wednesday, announced its foray into Bhutan to develop solar and hydroelectric power projects.
On October 2, 2024, Anil Ambani-run Reliance Group announced a significant partnership with Druk Holding and Investments Ltd. (DHI), the investment arm of the Royal Government of Bhutan, to enhance the renewable energy landscape in the country.
This collaboration aims to develop major solar and hydropower projects, including a 500 MW solar power plant and a 770 MW hydroelectric project. To oversee these operations, the group established a new company, Reliance Enterprises, which focuses on clean energy investments and smart energy solutions in Bhutan.
The 500 MW solar project, located in Gelephu Mindfulness City, will be executed in two phases over the next two years, representing the largest solar installation in Bhutan upon completion.
Simultaneously, the Chamkharchhu-1 hydro project, classified as a run-of-the-river project, will further bolster Bhutan’s existing power generation capacity. This partnership marks the largest foreign direct investment by an Indian private company in Bhutan’s renewable energy sector, the company said in its regulatory filing.
Reliance Enterprises is a joint venture between Reliance Infrastructure Ltd. and Reliance Power Ltd., dedicated exclusively to promoting and investing in Bhutan’s renewable energy sector.
Stellar recovery
Reliance Infrastructure and Reliance Power shares staged a strong recovery in September, both closing the month with gains exceeding 60%.
Anil Ambani-run Reliance Group is a major conglomerate with a diverse presence across multiple sectors of the economy. Among its key ventures is Reliance Power, a leading power generation company in India with a total installed capacity of 5,340 MW, including the 4,000 MW Ultra Mega Power Project in Sasan, Madhya Pradesh—currently the largest integrated thermal power plant in the world.
Two prominent companies under the Reliance Group umbrella are Reliance Infrastructure Limited and Reliance Power Limited.
Reliance Infrastructure Limited is active in the energy sector, focusing on power distribution in Delhi and power generation. The company also has interests in defense manufacturing andplays a key role in infrastructure development through special purpose vehicles (SPVs), including projects like the Mumbai Metro and various airport developments.
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