Tata Power plans Rs75,000 crore capex investment in green energy in five years

8 Jul 2022 , 01:05 PM

Tata Power Company announced on Thursday that it has clocked a capital expenditure of more than Rs75,000 crore over the next five years and aims to have an electricity generation capacity of 30 GW during the same period.

“The company is considering to increase its green energy share to 60% over the next five years. Further, an amount of Rs10,000 crore would be spent in 2022-23 (FY23) to take the total capital expenditure (capex) during the financial year to Rs14,000 crore”, Tata Power Chairman Natarajan Chandrasekaran said at the company’s 103rd annual general meeting on Thursday, which was held virtually.

Chandrasekaran, also the chairman of Tata Sons, the holding company of the Tata group, said Tata Power was taking a “pragmatic” approach to achieving its renewable energy targets and had added 707 megawatts (MW) of renewable capacity in 2021-22 (FY22).

“This has increased our clean and green portfolio to 34% of total capacity and the company aims to raise this to 60% in the next five years,” he told shareholders.

In his speech, Chandrasekaran further said to the shareholders that the company is equally focused on growing consumer centric and new-age energy solutions including solar rooftop, EV chargers, solar pumps, smart metering and energy management solutions, enabling power in the hands of the consumers.

Tata Power is the first company in the sector to declare a net-carbon-zero target. Recently, the company has signed Memorandum of Association (Mou) with Tamil Nadu Government to invest capex Rs3000 crore for setting up a greenfield 4GW Solar cell and 4GW solar molecule manufacturing plant in Tirunelveli district in Tamil Nadu.

Tata Power Company is on the path to becoming an ESG (Environmental, Social, and Governance) benchmark in the power sector.

At around 12:58 PM, Tata Power Company was trading at Rs216.05 per share up by Rs1.55 or 0.72% from its previous closing of Rs214.50 per share on the BSE.