Allcargo Terminals Limited — Important, 29-01-2025: Agreements

Allcargo Terminals has executed a Power Purchase Agreement (PPA) with Amokha Green Energy Private Limited (AGEPL) for the procurement of solar power on a group captive basis. This agreement will enable the company to fulfil its electricity needs for its Container Freight Station (CFS) in Chennai, allowing for significant savings as AGEPL offers solar power at a competitive rate compared to local utility TANGEDCO. The contract stipulates that Allcargo must consume a minimum of 80% of 3 lakh units of electricity annually. Additionally, Allcargo will invest Rs 4,700 by acquiring 47 equity shares of AGEPL at a face value of Rs 100 each, which is necessary under the group captive consumer guidelines. The implications for Allcargo include reduced energy costs and enhanced sustainability, presenting a positive outlook for operational efficiency.