Jhaveri Credits & Capital Ltd has secured a contract from NREDCAP to install grid-connected rooftop solar plants across government institutions in Andhra Pradesh. The project will operate under the RESCO model, with tariffs ranging from Rs 3.98 to Rs 4.28 per unit depending on capacity. The company has a 90-day execution window from the scheduled commissioning date. This order marks a fresh business expansion for the firm into the renewable energy sector, with management confirming no related party involvement in the contract award.
Jhaveri Credits & Capital Secures Andhra Pradesh Solar Project
Jhaveri Credits & Capital has been awarded a contract to install rooftop solar power plants in Andhra Pradesh.
The project will be executed under the RESCO model with tariffs ranging from Rs 3.98 to Rs 4.28 per unit.
Reader Takeaway: Revenue will depend on total capacity commissioned under the RESCO tariff model within the 90-day execution window.
What just happened
Jhaveri Credits & Capital has received a mandate from the New & Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP). The company is tasked with the supply, installation, and commissioning of grid-connected rooftop solar power plants at various government buildings. The work is structured under the Renewable Energy Service Company (RESCO) model, where the service provider typically owns, operates, and maintains the plant while selling power to the host entity.
Why this matters
This win represents a diversification for Jhaveri Credits & Capital, entering the renewable energy infrastructure space. The tariff is tiered by capacity: installations up to 10 KW earn Rs 4.28 per unit, while projects above 500 KW are set at Rs 3.98 per unit. This pricing structure provides a predictable revenue stream based on actual electricity generated once the systems are commissioned.
What changes now
The company must now pivot to executing these installations within the 90-day timeline set from the scheduled commissioning date. Shareholders should watch for updates regarding the total aggregate capacity successfully installed and operationalized, as this will determine the eventual top-line impact of this specific contract.
Governance and Compliance
Jhaveri Credits & Capital has explicitly confirmed that neither the promoters nor the promoter group hold any interest in NREDCAP. The company further clarified that this contract does not qualify as a related party transaction, ensuring standard arm's-length business practices for the project.
What to track next
Investors should look for future filings disclosing the specific total megawatt capacity commissioned and the corresponding impact on revenue reported in upcoming quarterly results.