The Hero Group, India’s largest two-wheeler maker, has signed a Memorandum of Understanding (MoU) with the Government of Uttar Pradesh for investing Rs 4,000 crore in a renewable energy and clean technology project. The MoU was signed on Wednesday by the agriculture production commissioner and infrastructure and industrial development commissioner of the UP Government, Manoj Kumar Singh and Rahul Munjal, chairman and managing director, Hero Future Energies, on the sidelines of the World Economic Forum meetings at Davos, Switzerland.
Renewable Energy and Clean Technology Project
The project will be executed by Hero Future Energies (HFE), a subsidiary of the Hero Group, which currently has a portfolio of 3 GW of grid connected wind, solar, and rooftop solar power generating assets operating in India and Europe and another 2 GW of projects are in the pipeline across India, Vietnam, Bangladesh, and UK. The project will help the UP Government achieve its target of generating 10.7 GW of renewable energy by 2022. The project will also create employment opportunities and boost the state’s industrial development.
Urban and Urban Premium Category Expansion
The Hero Group is also looking beyond its traditional 100 cc and 125 cc ranges and launching new products in the premium two-wheeler segment. The company has recently launched the 400 cc Harley Davidson, Karizma in the 200 cc plus bracket and another 440-cc model is coming up this quarter. The company’s chief executive officer Niranjan Gupta said that the focus is now on improving the urban and urban premium category where rangebound demand growth is taking shape. “Expand category at bottom-end, expand portfolio at the top-end—this is our aim right now,” Gupta said. The company is also revamping its stores to cater to the premium customers.