Shares of Bharat Heavy Electricals Limited (BHEL) and Hitachi Energy India soared up to 9.1% on the BSE following the announcement of their partnership in the Khavda-Nagpur HVDC project. This significant achievement has sparked increased buying interest, highlighting why investors might want to invest in stocks within the energy sector.
Market performance at a glance
As of 9:28 AM, BHEL's shares climbed 2.05%, trading at ₹246.4 per share, while Hitachi Energy experienced a more pronounced rise of 7.42%, reaching ₹12,530.65 per share. The overall market also showed optimism, with the BSE Sensex inching up 0.30% to 80,354.15. BHEL's market capitalisation now stands at ₹85,798.04 crores, while Hitachi Energy's valuation is ₹53,189 crore.
The project's significance
The Khavda-Nagpur project is pivotal for India's renewable energy ambitions. The consortium of BHEL and Hitachi Energy will establish an 800kV, 6,000MW High Voltage Direct Current (HVDC) terminal station to evacuate renewable energy from Gujarat's Khavda region to Nagpur in Maharashtra. Power Grid Corporation of India awarded the project through a tariff-based competitive bidding (TBCB) process, aligning with India's goal of achieving 500GW renewable energy capacity.
This strategic win positions both companies as critical players in the nation's renewable energy and transmission landscape. Investors looking to invest in stocks tied to clean energy and infrastructure development may find these companies particularly appealing.
Key takeaways
For android only