Solar Energy Stocks Surge as Indian Government Launches Pradhanmantri Suryodaya Yojana

Solar-related stocks are witnessing a significant surge in value following an announcement by Indian Prime Minister Narendra Modi. During the consecration ceremony of the Ram Temple in Ayodhya, PM Modi revealed that the government will introduce the ‘Pradhanmantri Suryodaya Yojana.’ The initiative aims to install rooftop solar panels on one crore (10 million) houses across the country.

The news has already had a positive impact on the stock market, with companies like Borosil Renewables and Waaree Renewable Technologies experiencing a 12% and 5% increase in their share prices, respectively. Borosil Renewables specializes in manufacturing patterned glass and low iron solar glass for photovoltaic panels, flat plate collectors, and greenhouses. Waaree Renewable Technologies focuses primarily on providing renewable energy solutions, with a strong emphasis on solar power.

Meanwhile, the benchmark BSE Sensex is currently trading lower at 70,799 points, reflecting a decline of 0.87%. The broader market indices, including BSE Midcap and BSE Smallcap, have also experienced a decrease of over 2% and 1.60%, respectively.

Other solar energy companies, including Websol Energy System and Gita Renewable Energy, have seen their stock prices surge as well. Websol Energy System manufactures solar cells and modules, while Gita Renewable Energy focuses on the operation and maintenance of solar power plants. These companies witnessed a 10% and 5% increase in their share prices, respectively.

In his announcement, PM Modi emphasized the importance of sunlight as a source of energy, stating, ‘All the devotees of the world always get energy from the light of Suryavanshi Lord Shri Ram.’ He further solidified his commitment to promoting solar power adoption in India, stating that the government’s first decision after the Ayodhya ceremony was to launch the ‘Pradhanmantri Suryodaya Yojana.’

Solar power companies such as Waa Solar and KPI Green Energy have also experienced a positive impact on their stock prices, with increases of 4.57% and 4.18%, respectively. Waa Solar is primarily engaged in solar power generation, while KPI Green Energy specializes in the development, construction, operations, and maintenance of solar power projects.

It is worth noting that Rays Power Infra, a prominent integrated solar power company in India, has filed its Draft Red Herring Prospectus (DRHP) with the capital market regulator, Sebi, to raise funds through an initial public offering (IPO). The IPO comprises a fresh issue of equity shares up to Rs 300 crore and an offer for sale (OFS) of up to 2.99 million shares by selling shareholders.