VA Tech Wabag gains nearly 6% on inking MoU with Peak Sustainability Ventures to set up 100 bio-CNG plants

VA Tech Wabag will play the role of a technology partner and will be responsible for execution, commissioning, and operations and maintenance of the Bio-CNG plants. Peak Sustainability would offer inputs in energy related areas and help in mobilising capital for financing projects, as per the MoU.

The projected business potential to establish 100 bio-CNG plants is estimated to exceed $200 million, with the partnership targeting an annual production of over 73 million kilograms of Bio-CNG.

This initiative would address the rising energy demand in an eco-friendly manner and also aligns with India's pledge to reduce greenhouse gas emissions and mitigate air pollution caused by methane, which has a significantly higher Global Warming Potential (GWP) compared to carbon dioxide.

VA Tech Wabag already established approximately 40 large biogas generation facilities across various global projects. "Wabag is already producing more than 40 MWh of green energy through its various installed plants. With this collaboration, we are taking a next step in our green energy segment to produce cleaner and greener fuel and to support the country's vision of Atmanirbhar Bharat," Shailesh Kumar, CEO-India Cluster at WABAG said.

Peak Sustainability manages an Alternative Investment Fund (AIF) that allocates investments across four verticals— new energy (including renewables, energy storage, waste-to-energy, hydrogen, etc.), food systems, water, and other climate-related sectors.

VA Tech Wabag shares were up 5.79% at ₹639.3 apiece at 11.11am on Monday, January 29.