Tata Power sets ₹20,000 crore investment target for FY25, to drive renewable energy expansion – EQ
In Short : Tata Power aims to invest ₹20,000 crore in FY25 to expand its renewable energy portfolio. This significant investment is part of the company’s strategy to drive growth in clean energy, enhance sustainability, and contribute to India’s renewable energy goals.
In Detail : The company is also looking to bolster its transmission and distribution operations, besides foraying into the small modular nuclear reactors space.
Tata Power Co. Ltd plans to invest around ₹20,000 crore in the current fiscal year, chairman N. Chandrasekaran said at the company’s 105th annual general meeting (AGM) on Friday.
The bulk of this investment will bolster its renewable energy business, with the rest earmarked for the transmission and distribution operations, he added.
“Tata Power plans to invest ₹20,000 crore capex in FY25. This is over and above the ₹12,000 crore invested in FY24. A large part of this will be towards accelerating the company’s renewable energy portfolio and balance towards transmission and distribution businesses.”
The company will also explore opportunities in small modular nuclear reactors, once the government gives necessary permissions, along with new distribution opportunities in other states, as and when these opportunities arise, said Chandrasekaran. It serves 12.5 million consumers through its distribution business, and is targeting to reach 50 million.
Green energy shift
The Tata group company is well positioned to lead India’s green energy shift with a focus on providing round-the-clock renewable energy, especially to commercial and industrial (C&I) consumers, he said.
The company is also aiming to increase its market share in the rooftop solar space under the PM Surya Ghar Yojana, and enhance its renewable energy portfolio from the current 9 GW to 15 GW within five years.
The Tata Power stock closed at ₹436.90 on Tuesday on the BSE, down 0.52% from its previous close.
