Shares of hydroelectric power generation firm SJVN went up nearly 3% after the company said it bagged contracts from the Maharashtra government.

What Happened: The “Navratna” public sector firm has signed two agreements with the Government of Maharashtra. These deals are aimed at the development of pumped storage projects (PSPs) and floating solar projects (FSPs) in the state.

The first agrement, inked with Maharashtra’s Department of Water Resources, is for the creation of five PSPs with a cumulative capacity of 8,100 megawatts. The second, signed with Maharashtra State Power Generation Company (MAHAGENCO), is for a 505-megawatt floating solar project at Lower Wardha Dam in Maharashtra.

The former includes an 800-megawatt PSP in Kolmondapada, a 1,500-megawatt PSP in Sidgarh, a 2,000-megawatt PSP in Chornai, a 1,800-megawatt PSP in Baitarni and a 2,000-megawatt PSP in Jalvara. These projects are expected to play a critical role in energy storage, grid stabilisation and meeting the peak electricity demand in Maharashtra, the company said in its press release.

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On the other hand, the floating solar project will be developed in two phases, with the first phase being 100 megawatts and the second phase of 405 megawatts. The phased development aims to ensure optimal use of existing power evacuation infrastructure and provide a sustainable and reliable energy source for the region.

The signing ceremony on Thursday was attended by Maharashtra Deputy Chief Minister and Energy Minister Devendra Fadnavis. He assured the Maharashtra government’s complete support for the timely execution and completion of these projects.

The total estimated investment for these projects is around ₹48,000 crore. They are expected to generate around 8,400 direct and indirect employment opportunities and support eco-tourism and skill development initiatives, benefitting local communities.

Price Action: SJVN shares jumped by 2.51% to trade at ₹129.15 on Friday.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.