Tata Power plans ₹75,000 cr capex push for renewable energy to take on Adani, RIL | Daily News Byte

At the company’s annual general meeting, held virtually, Tata Power chairman N Chandrasekaran said the company aims to have a power generation capacity of 30 GW over the same period, more than half of which will come from clean energy sources.

Currently, Tata Power has a production capacity of 13.5 GW with 34% contribution from renewable energy sources.

In his speech, Mr. Chandrasekaran further said that the company is looking to expand its generation capacity to more than 30 GW by 2027 from 13.5 GW with clean energy generation capacity increasing from the current level of 34 percent to 60 percent by 2027 and 80 percent. percent in 2030.

He also told shareholders that the company had planned ₹14,000 crore combined capex in FY’23 with ₹10,000 crore in replacement.

Tata Power added 707 MW of renewable energy capacity in FY22.

The company holds a strong EPC order book of ₹13,000 crore and also set up a 4 GW solar cell and module factory in Tamil Nadu with the investment of ₹3,000 crore, Chandrasekaran said.

The company is equally focused on consumer-centric growth and new generation energy solutions – solar rooftops, EV chargers, solar pumps, smart metering and energy management solutions – putting energy in the hands of consumers.

To expand these green businesses and solutions, the company also entered into a strategic partnership and created a replacement platform with the investment of ₹4,000 crore from Blackrock Real Estate and Mubadala Investment Company, he added.

The company is equally committed to providing strong performance in transmission and distribution business, serving 12 million customers, including 9 million customers in Odisha, he said.

Further, he said that in the T&D (Transmission and Distribution) business, the company will optimize the operations of Odisha discom, stabilize new acquisitions in the transmission business and provide amazing customer service, enabled by digitalisation.

He also informed that the company is on the way to become an ESG (Environmental, Social, and Governance) standard in the energy sector.

In this operation, he said, the company has set three goals to become zero carbon in 2045, 100% water neutral in 2030 and no waste to be mined before 2030.

In the 2021-2022 fiscal year, Tata Power’s production revenue increased by 28% and return on capital employed increased to 7.8% from 7.2% last year. The company announced a dividend of ₹1.75 per share in FY22.