Tata Power strikes clean energy deal with Mubadala’s Princeton Digital Group
Abu Dhabi’s Mubadala Investment Company has announced a strategic partnership between Princeton Digital Group (PDG), its portfolio company, and Tata Power Renewable Energy.
The collaboration will ensure the provision of clean energy to Princeton Digital Group key data center, MU1, in Airoli, Mumbai. The companies have jointly invested in a captive solar power plant that will supply electricity to the data center under a 25-year renewable Power Consumption Agreement (PCA).
The solar power plant, located in Maharashtra’s Nanded district, is expected to start generating electricity from June 2023. Further capacity is slated to be added following the completion of the solar plant’s future development phases. This endeavor will help Princeton Digital Group’s MU1 data center achieve its goal of being 50 per cent powered by renewable energy.
Khaled Abdulla Al Qubaisi — Mubadala CEO of Real Estate and Infrastructure Investments said: “Mubadala is delighted about the partnership between two of our investee companies, PDG and Tata Power Renewables. Both companies align with our focus on value creation and delivering positive outcomes for society, and our view that digitalization is vital to socioeconomic progress and development.
“By bringing our partners together, we are further supporting the build of sustainable solutions in India, a key strategic partner and market for Mubadala.”
Landmark clean energy deal struck between Mubadala’s Princeton Digital Group and Tata Power Renewable Energy. Image courtesy of ubadala Investment Company.
In 2022, Mubadala invested $350 million in Princeton Digital Group, a Pan-Asia data center operator with a network of 21 data centers spanning six countries and a capacity exceeding 700MW. Simultaneously, Mubadala, in alliance with BlackRock Real Assets, poured $525 million into Tata Power Renewables, one of India’s largest integrated power companies.
Tata Power Renewables, leading India’s energy transition, aims to contribute 30GW by 2030, a crucial move towards fulfilling the country’s sustainable energy objectives.
Ashish Khanna — Tata Power Renewable Energy CEO said: “Our collaboration with Princeton Digital Group will enable their data center to source fixed-priced clean and renewable energy on long term basis which is the most cost-effective way.
“Data centres are factories of the future and we are committed to supply them with green energy. Tata Power Renewable Energy Ltd. offers a comprehensive portfolio of renewable energy solutions and, through our expertise in the domain, we shall continue to contribute towards India’s Net-Zero target.”