Mumbai: Shares of power and gas utility stocks on Thursday rose as much as five percent on bourses after Cabinet approved financial support to revive stranded power projects.
In a bid to revive Rs 60,000 crore of stranded power projects, the Cabinet yesterday approved financial support to private companies to help them use costly imported gas (LNG) for generating electricity.
Among power generation companies, Torrent Power settled for the day with gains of 3.23 percent. Similar movement was seen in the GVK Power & Infrastructure counter also which ended the day up 2.43 percent.
Among gas utilities and distribution companies, Gail (India) gained up 0.45 percent, Petronet LNG was up by 1.28 percent, Gujarat State Petronet up 4.70 percent and Indraprastha Gas up 0.96 percent.
Thirty-one power stations with a combined capacity of 14,305 megawatt, which are languishing because of want of gas, can bid for support from the Power System Development Fund for generating 30 percent of their installed capacity using imported liquefied natural gas (LNG).
