Tata Power 105th AGM: A strategic leap towards renewable energy and expansion

At its 105th Annual General Meeting (AGM), Tata Power, one of India’s premier integrated power companies, unveiled its ambitious financial and strategic blueprint for FY25, continuing its trajectory of robust performance and expansion. Chairman Natarajan Chandrasekaran highlighted the company’s commitment to growth and operational excellence.

Tata Power Investment and Expansion Plans

The company has announced a significant capital expenditure of Rs 20,000 crore for FY25, which is a substantial increase from the Rs 12,000 crore invested in FY24. This investment aims primarily at enhancing Tata Power’s renewable energy portfolio, with additional funds earmarked for its Transmission and Distribution segments. “A large part of this will be towards accelerating the company’s renewable energy portfolio,” stated Mr. Chandrasekaran. Tata Power is also exploring the potential of entering the Small Modular Nuclear Reactors sector, pending government approvals.

Strategic Highlights and Achievements

• Energy Transition Leadership: Positioned as a leader in India’s green energy transition, Tata Power is focused on providing reliable renewable energy, especially to commercial and industrial consumers.
• Rooftop Solar Expansion: Under the PM Surya Ghar Yojana, the company has aggressively expanded its rooftop solar operations, targeting a larger market share and aiming to solarize homes nationwide.
• Consumer Reach Expansion: From a current consumer base of 12.5 million, Tata Power plans to increase its reach to 50 million consumers through further distribution business expansions.
• Financial Performance: The company reported a 10% increase in consolidated revenue at Rs 61,542 crore and a 12% rise in Profit After Tax (PAT) at Rs 4,280 crore for FY24.
• Renewable Energy Capacity: Tata Power aims to grow its clean energy portfolio to 15 GW within five years, up from the current 9 GW.
• Manufacturing and Infrastructure: A new 4.3GW solar cell and module manufacturing plant has been established in Tamil Nadu.
• EV Charging Network: The company leads with over 5,500 public and captive chargers across 530+ cities and has installed 86,000+ home chargers.

Looking ahead, Tata Power is fully geared to expand its ‘Ghar Ghar Solar’ initiative, with more than 2GW of rooftop projects executed and an order book of Rs 2,800 crore. The focus on consumer-centric businesses in the clean energy space is set to redefine the energy landscape in India.

Tata Power’s strategic investments and initiatives mark a significant step in aligning with global energy transition trends. The company’s focus on renewable energy and innovative technologies like Small Modular Nuclear Reactors could potentially set new industry standards in sustainability and operational efficiency.