Dalmia Cement To Pick 18% Stake In Wind Power Firm O2 Renewable Energy Subsidiary

United States Plans Leasing Of 12 Offshore Wind Projects

Indian cement manufacturer Dalmia Cement (Bharat) Limited (‘DCBL’) has announced it has entered into a Share Purchase Agreement (“SPA”), Deed of Accession (‘DOA’), and Power Purchase Agreement (‘PPA’) on April 5 to acquire 18.13% of the equity share capital of O2 Renewable Energy V Private Limited, consisting of 68,99,293 equity shares aggregating to Rs.7.80 crore in one or more tranches to source wind power as a captive consumer for a capacity up to 11 MW located in Karnataka. This is a regulatory requirement for captive power consumption.

Dalmia Cement (Bharat) Limited has also planned to rope in wind power to cater to its power needs. To boost the use of renewable energy for its power needs, it has also issued a bid seeking developers. The company, a subsidiary of Dalmia Bharat Limited, plans to use this renewable power for the electricity needs of its three different locations in Tamil Nadu. As per the Expression of Interest notice issued by the company, the cement maker wants around 52.5 MW (1,520 lack units of power) for its captive needs. 

According to several reports, Wind power projects in India are expected to see an uptick in volumes during fiscal 2024, as per S&P Global Ratings, with a 20% year-on-year increase in the all-India level wind load factors in the second half of 2023. In August 2023, India’s wind energy sector is witnessing a remarkable surge, with the installed capacity reaching an impressive 43,773 megawatts (MW). The country’s focus on sustainable energy sources has resulted in a substantial 71,814 million units of electricity being generated from wind energy during the fiscal year 2022-23, stated the media report.

Moreover, a recent report published in the journal Energy has shown that a novel winglet, inspired by the condor’s wings can boost a turbine’s energy output by an average of 10%. This was done by the University of Alberta.