Tata Power‘s share price was climbing on Friday after its subsidiary, Tata Power Renewable Energy (TPREL), signed a memorandum of understanding for green energy generation with the Gujarat government.
What Happened: The Tata company will develop 10,000 megawatts of renewable energy power projects, the company said in an exchange filing. The signing ceremony occurred at the Vibrant Gujarat event in the presence of key representatives from both parties.
The renewable energy projects, encompassing solar, wind, hybrid, round-the-clock, peak, and firm and dispatchable renewable energy (FDRE), will be spread across multiple sites in the state, covering an extensive 50,000 acres of encumbrance-free government land. These initiatives align with the goal of generating 50% of power from renewable sources by 2030.
The 10,000 megawatt renewable energy projects have a total investment potential of ₹70,000 crore, with the potential to create employment for over 3,000 people, the company said.
The company currently houses 4.3 gigawatts of operational solar, wind and hybrid assets, with plans to add 10 gigawatts before FY27, involving a capex of ₹60,000 crore. Analysts believe that Tata Power’s consolidated renewable energy could easily surpass ₹10,000 crore, considering additional contributions from solar energy performance contracting, rooftop and electric-vehicle charging stations.
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