New Delhi: The Government of India has granted the coveted ‘Navratna’ status to the Indian Renewable Energy Development Agency (IREDA), a public sector enterprise, headed by senior Officer from Odisha, Pradip Kumar Das.
The Department of Public Enterprises (DPE) granted this status to IREDA, as disclosed in an exchange filing by the company.
One of the top most dynamic and visionary CPSU Chief Pradip Kumar Das has led IREDA through a remarkable transformation, earning it the prestigious Navratna status and substantially improving its financial performance.
At the time of writing, IREDA’s stocks are trading at Rs 184.15, marking a 7.91% increase from the previous close. Over the past year, the company has seen a remarkable 206.92% gain, and since the beginning of the year, it has gained 75.97%.
Navratna status is a special designation given to select public sector undertakings (PSUs) in India. These companies play a vital role in the country’s economy and enjoy a distinguished position compared to other PSUs, both nationally and internationally.
IREDA has come a long way ever since Pradip Kumar Das took over as the Chairman and Managing Director (CMD) during the COVID-19 pandemic.
His strategic approach in addressing internal and external challenges and fostering a culture of innovation and corporate governance within the CPSU has been pivotal to its success.
IREDA’s focus on renewable energy aligns well with India’s broader goals of sustainability and reducing dependency on fossil fuels.
In its financial report for the quarter ended March 31, 2024, IREDA recorded a 33% increase in consolidated net profit, amounting to Rs 337 Crore compared to Rs 254 Crore in the same period last year.
“Before I joined, IREDA’s performance was sliding down for various reasons. On top of regulatory, accounting and balance sheet issues, the pandemic became a critical challenge. So, my first purpose and objective was to ensure that it didn’t slide further,” Shri Das said.
After assuming as the CMD, Shri Das immediately identified four areas that required immediate attention. First, he played to the strengths of his young employees, who formed the majority. He strengthened the appraisal process, empowered them to contribute more and even delivered food to employees working from home during the pandemic.
Next, he focused on implementing corporate governance best practices, including digital ways of working. After that, he tried to shift perspectives within IREDA by placing more importance on borrowers.
The IREDA has created a culture of regular interactions with the borrowers. Then, the CMD identified the problems they’re facing and how they can be overcome.
In his 30-year career Shri Das sat on both sides of board meetings, learning the ins and outs of corporate governance. It is this wealth of experience that has allowed him to revive IREDA.
The clarity in his thoughts and willingness to take drastic decisions also worked in IREDA’s favor during its most critical moment in recent years – the IPO launch.
The emphasis on engaging with borrowers and understanding their needs reflects a customer-centric approach, essential for sustainable growth in the green energy sector.
Shri Das’s vision for the future underscores the importance of renewable energy sources. By leveraging his extensive experience and decisiveness, Shri Das has not only revitalized IREDA, but also positioned it a a major player in India’s renewable energy landscape.
With India poised to become a major player in green energy sector, Shri Das’s vision for the future underscores the importance of renewable energy sources like green hydrogen.
India is likely to be the manufacturing and export hub for green hydrogen and its derivatives in the time to come. The energy requirement of making it a developed economy will be massive, and 90 percent of it has to come from new and renewable sources, Shri Das added.
IREDA under Shri Das’s dynamic leadership the organization appears to be well equipped to navigate the evolving energy landscape and contribute significantly to India’s sustainable development goals.