With More Clarity on ALMM, SWREL Optimistic About Order Book Spike in Q2

Buoyed with a strong domestic EPC project pipeline and expected clarity on key government policies, Sterling & Wilson Renewable Energy Limited (SWREL) is now optimistic of higher quantum of orders in Q2 and Q3. The firm now expects acceleration in project awards from both government entities and the private players. 

Advertisment

SWREL began the fiscal year by securing 20 orders, including a 290 MW project in Gujarat valued at INR 813 crore from a leading PSU. In terms of execution, over 1 GW of capacity was commissioned in Q1.

“FY26 is shaping up to be a very good year for the domestic solar EPC market,” the company’s management said during its Q1 investor call. “We now have a bid pipeline of 30 GW, including over 26 GW for India alone. Most of this is expected to be awarded before December 2025,” CK Thakur, our global CEO of the firm, told his investors in a recent investor call. 

Delays in Q1

Advertisment

The company noted that delays in Q1 were due to factors such as geopolitical tensions and policy uncertainties, including the Approved List of Models and Manufacturers (ALMM) Phase II guidelines. However, SWREL said this postponement has only expanded the pipeline.

“Our execution scale-up plans remain on track,” the management added. “The 93% year-on-year growth in Q1 topline reflects this progress.”
Talking about the order book of the EPC company, 88% of their order book comprises Indian projects, while international orders include two projects in Europe and South Africa.

SWREL’s O&M portfolio now stands at 9.3 GW but is likely to further aid in scaling up the consolidated revenue of the firm.  “With several large EPC projects nearing commissioning, our O&M portfolio is expected to see meaningful revenue contributions in H2 FY26,” the company said. It is also eyeing strategic third-party O&M contracts.

SWREL welcomed falling battery storage costs—from INR 10 lakh/MW/month to INR 2.5 lakh—and noted that while India’s installed storage capacity stands at just 205 MW, a pipeline of 3.3 GW is lined up and 12.5 GW is under various stages of tendering.

International Opportunities 

On the international front, the company sees attractive EPC opportunities in Africa and Europe. “Progress on ongoing international projects has been very positive,” the management said.

The firm expects order activity to accelerate in Q2 and Q3, citing strong pipelines and improved clarity on ALMM norms. Some Q1 disruptions—particularly at Rajasthan border projects—caused a 40–45 day productivity loss, but the company remains confident about meeting its annual guidance.
“We are well-placed to capitalize on large-scale opportunities and remain on track with our FY26 targets,” the management concluded.