Oswal Pumps Bags ₹119.92 Cr KUSUM-B Order For 3,263 Solar Pumps in Karnataka

Oswal Pumps, a vertically integrated solar pump manufacturer, has received an order with a total order value of ₹119.92 crore (inclusive of GST) from Karnataka Renewable Energy Development Limited (KREDL) under the PM-KUSUM B Scheme. The company, while sharing these details in an exchange filing about securing the order for the supply and installation of 3,263 Off-Grid DC Solar Photovoltaic Water Pumping Systems. Oswal's announcements follows similar announcements by other pump manufacturers, notably Shakti Pumps which announced a Rs 600 cr plus last week. Oswal however remains one of the few pump manufacturers to have its own module manufacturing operations, allowing the firm to squeeze out higher margins from the business. The firm has already announced plans for an expansion into newer related areas, besides a capacity expansion of the existing module making set up. Interestingly, it has skipped any plans to get into cell manufacturing, possibly seeking to avoid the higher risks in that with sourcing from other firms in the post June 2026 scenario when ALCM kicks in. 

The company said the KREDL order encompasses the design, manufacture, supply, installation, testing, and commissioning of solar water pumping systems in 3 HP, 5 HP, 7.5 HP, and 10 HP capacities. These systems will be installed at identified farmers’ locations across the state of Karnataka, supporting sustainable irrigation and promoting the adoption of renewable energy in the agricultural sector. 

State govt backing takes precedence over central agencies

The company has previously said it has been securing tenders backed by state governments rather than with support from central government agencies. Explaining the rationale behind this, Oswal Pumps Chairman and Managing Director Vivek Gupta said during one of the investor calls that because PM-KUSUM has not yet rolled out its next phase, all current tenders—whether in Karnataka, Goa, Haryana, Madhya Pradesh (MP), or other states—are being issued by individual states and not by the central government.

Thus, while Magel Tyala, a state-level scheme, is already operational, Madhya Pradesh also has a state level tender. PM-KUSUM currently has no tenders. Until the new PM-KUSUM scheme is announced, tenders cannot be centralised. As a result, all tenders being issued—whether in Karnataka or other states such as Goa recently—are state-level tenders.