IGL shares in focus after formation of solar JV with Rajasthan government

Shares of Indraprastha Gas Ltd (IGL) will be in focus on Tuesday, September 2, after the company announced the formation of a Joint Venture (JV) with Rajasthan Rajya Vidyut Utpadan Nigam Ltd (RVUNL) for setting up a solar power project in the state of Rajasthan.

This development follows the board approval dated March 29, and culminated with the signing of the Joint Venture Agreement on July 29, 2025. The JV marks a strategic step for IGL into the renewable energy sector through a partnership with a key state-run power generation company.

“This is further to our letter dated March 29, 2025, wherein it was informed that the Board, in its meeting held on March 29, 2025, approved the setting up of Solar Plant in the State of Rajasthan through a Joint Venture with Mis Rajasthan Rajya Vidyut Utpadan Nigam Limited (RVUNL). In this regard, this is to inform that the Company has entered into a Joint Venture Agreement today with RVUNL for setting up of Solar Power Project,” the company said in an exchange filing.


According to the agreement, IGL will hold a 74% equity stake in the new JV, while RVUNL will own the remaining 26%. The initial paid-up capital of the company will be Rs 5 lakh, divided into 50,000 equity shares of Rs 10 each.

The Board of Directors of the JV will comprise six members, four nominated by IGL and two by RVUNL, ensuring IGL's operational control over the venture. The primary objective of the JV is to set up a solar power plant in Rajasthan, aligning with India’s broader push towards clean and renewable energy.

GAIL (India) Limited, the promoter company of IGL, has also entered into a Joint Venture Agreement with RVUNL, reinforcing the strategic importance of the partnership.

On Monday, the shares of IGL closed 2% higher at Rs 210.95 on the BSE.

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