Karnataka set to become major player in renewable energy, signs MoU with GAIL to generate 1 GW power

Bengaluru: Gas Authority of India Limited (GAIL), the country’s leading public sector undertaking in the natural gas sector, has signed a Memorandum of Understanding (MoU) with the Government of Karnataka to establish a facility which can generate approximately 1 GW of renewable energy (RE) in the state, with a proposed investment of Rs 5,000 crore.

The MoU was signed in the presence of Industries Minister M.B. Patil, Minister for Large and Medium Industries and Infrastructure Development, and K. J. George, Minister for Energy, Government of Karnataka,

Parvesh Chug, Executive Director (Renewable Energy), GAIL, and Sumit Kishore, Executive Director (Marketing), GAIL, were present during the MoU signing event.

With an ambitious commitment to achieve 100 percent reduction in Scope 1 and Scope 2 emissions by 2035, GAIL is aligning its strategic priorities with India’s broader Net Zero goals.

To meet this target, the company requires approximately 3,500 MW of renewable energy capacity for captive consumption.

As of now, GAIL’s renewable portfolio comprises just 135 MW, which includes 38.1 MW of wind energy operational in Karnataka.

Recognizing Karnataka’s leadership in the renewable energy sector, GAIL aims to scale up its presence significantly in the state.

The MoU will help GAIL explore and develop a diversified portfolio of renewable energy (RE) projects including ground-mounted solar, rooftop solar, floating solar, wind energy, and mandated storage solutions.

The company is also keen on acquiring suitable land parcels within solar parks in Karnataka to expedite implementation under its dedicated capital expenditure plan.

Speaking on the occasion, Minister Patil said, “We welcome GAIL’s strategic interest in Karnataka. This MoU reaffirms our commitment to facilitating clean energy investments while driving industrial growth. Karnataka’s policy ecosystem, skilled workforce, and land availability make it a natural partner for companies focused on sustainability.”

Minister George added, “As a leader in renewable energy, Karnataka is pleased to collaborate with GAIL in achieving India’s clean energy transition. This partnership will strengthen the state’s position as a green energy hub and contribute to employment generation and infrastructure development.”

The MoU marks the beginning of a long-term collaboration between GAIL and the Government of Karnataka to create a cleaner, greener energy future, while contributing significantly to the state’s economic growth and climate goals.

Dr. Selvakumar S., Principal Secretary, Industries, and Gunjan Krishna, Commissioner for Industrial Development and Director, Industries and Commerce were present during the event.