RSWM Ltd Secures 60 MW Renewable Energy Supply, Boosting Green Power to 70%

RSWM Ltd, a major textile manufacturer and part of the LNJ Bhilwara Group, has formalized an agreement for a substantial 60 MW renewable energy supply. As part of this arrangement, AESL will oversee the complete green power value chain to meet RSWM Ltd's additional energy requirements. Towards this objective, RSWM Ltd has committed an investment of ₹60 crore through a Group Captive Scheme with a renewable energy generator (genco). This investment is set to provide 31.53 crore units of green power annually to its manufacturing facilities located across Rajasthan. Consequently, the proportion of renewable energy in RSWM's overall energy consumption is projected to rise significantly from the current 33% to 70% in the near future. Riju Jhunjhunwala, Chairman, Managing Director, and CEO of RSWM Ltd, highlighted that sourcing 70% of energy from renewables places the company well above India's national average clean energy mix of 31%, setting an industry benchmark for responsible energy transition.

Impact This strategic investment in renewable energy is expected to have a positive impact on RSWM Ltd by potentially reducing operational costs through stable, lower energy prices and hedging against fossil fuel price volatility. It also reinforces the company's commitment to environmental, social, and governance (ESG) principles, which can enhance investor confidence and attract sustainable investment. For the broader Indian textile sector, this initiative serves as a strong example, encouraging other companies to adopt cleaner energy solutions and contribute to national climate goals. Rating: 7/10

Explanation of Terms: Group Captive Scheme: This is an arrangement where multiple consumers jointly own or subscribe to power generated from a captive power plant, often a renewable energy source. It allows consumers to access renewable energy without owning the entire plant themselves. Renewable genco: This refers to a power generation company that produces electricity from renewable energy sources such as solar, wind, or hydro power.