Shimla, Aug 3 (IANS): Public sector hydropower major SJVN on Thursday inked a memorandum of understanding (MoU) with Sikkim Urja Ltd to trade 180 MW units from 1,200 MW Teesta-III Hydro Electric Project to distribution licensees and open access consumers, said SJVN Chairman and Managing Director Nand Lal Sharma.

This will be SJVN's first venture in Sikkim.

Sharma said the Central Electricity Regulatory Commission has granted Category-I power trading licence for interstate trading of electricity to the SJVN. The company is focusing on addressing seasonal and regional variance of demand and supply and fulfilling the power supply demand.

"Our trading business is expanding and this MoU will act as a booster to the growth engine of SJVN and will enable us to assist the government of India in fulfilling its vision of 24X7 Power to all," he said in a statement.

The MoU was signed amidst the presence of Akhileshwar Singh, Director (Finance) SJVN, S Sunil, Executive Chairman, Sikkim Urja Ltd, in New Delhi.

The SJVN has also been designated as renewable energy implementing agency by the Ministry of New and Renewable Energy for tariff-based competitive bidding process for procurement of renewable power. Such MoUs are enabling SJVN to provide solutions for round-the-clock power.

At present, the project portfolio of SJVN is 55,814 MW. Company is on rapid progression to achieve its shared vision of 5,000 MW by 2023-24, 25,000 MW by 2030 amd 50,000 MW installed capacity by 2040.

The utility aims to achieve the target of 50 per cent energy from non-fossil fuel-based energy resources by 2030.