Karnataka And GAIL Sign Rs 5,000 Crore Agreement For 1 GW Renewable Energy Project

(MENAFN- KNN India) Bengaluru, May 10 (KNN) The Government of Karnataka and GAIL (India) Limited signed a Memorandum of Understanding (MoU) on Friday to establish approximately 1 gigawatt of renewable energy capacity in the state. The proposed investment for this initiative is estimated at Rs 5,000 crore.

The agreement was formalised in the presence of MB Patil, Minister for Large and Medium Industries and Infrastructure Development; KJ George, Minister for Energy; and TD Rajegowda, Chairman of the Karnataka Renewable Energy Development Ltd (KREDL).

Dr. Selvakumar S, Principal Secretary of the Industries Department, and Parivesh Chugh Singh, Executive Director (SD and Renewables) at GAIL, were the signatories representing their respective organisations.

Minister Patil emphasised that the MoU reaffirms Karnataka's position as a preferred destination for clean energy investments.

"GAIL can initiate the projects by acquiring land from farmers on a lease basis or we will facilitate land allocation through KIADB. Necessary approvals, registration, and concessions will be provided swiftly," he assured attendees.

Under the agreement, GAIL will explore and develop a diversified renewable energy portfolio in Karnataka, including ground-mounted solar, rooftop solar, floating solar, wind energy, and mandated storage solutions.

According to Patil, GAIL has expressed interest in acquiring suitable land parcels within the state's solar parks to expedite project implementation under its dedicated capital expenditure plan.

Patil highlighted that Karnataka's favorable policy framework, skilled workforce, and land availability make it an ideal partner for sustainability-focused enterprises.

Energy Minister KJ George added that the partnership would strengthen Karnataka's position as a green energy hub while generating employment and enhancing infrastructure development.

George remarked that the MoU represents the beginning of a long-term collaboration between GAIL and Karnataka to build a cleaner energy future that contributes to the state's economic growth and climate objectives.

He also highlighted the state's solar potential, noting that the Pavagada Solar Park currently produces 2,050 MW of energy annually, with local farmers prepared to provide an additional 10,000 acres for similar development.

Among other officials present at the signing ceremony were Gunjan Krishna, Commissioner for Industrial Development; Dr. Mahesh, CEO of KIADB; Sumit Kishor, Executive Director (Marketing) at GAIL; and KP Rudrappaiah, Managing Director of KREDL.

(KNN Bureau)

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