Tata Motors, Tata Power Renewable Energy Sign Agreement for Wind-Solar Hybrid Project

On April 21, 2025, Tata Motors entered into a power purchase agreement (PPA) with Tata Power Renewable Energy Limited (TPREL), a subsidiary of Tata Power, to jointly set up a 131 MW wind-solar hybrid renewable energy project.

Project Capacity and Scope

The hybrid project will supply energy exclusively to Tata Motors’ six manufacturing facilities located in Maharashtra and Gujarat. These units handle both commercial and passenger vehicle production. The project is expected to generate around 300 million units of renewable electricity each year.

According to Tata Power’s regulatory filing, the energy generated through this project is expected to help reduce carbon dioxide emissions by over 2 lakh tons annually.

Financing Structure 

The integrated power project will be co-financed by Tata Motors and Tata Power. It will operate under a long-term PPA signed between the two companies. The wind-solar hybrid setup is aimed at providing consistent and cost-effective green energy to support Tata Motors’ operations.

Statements from Tata Motors Officials

Vishal Badshah, Vice President – Operations, Commercial Vehicles, Tata Motors, and Pramod Choudhary, Vice President – Operations, Passenger Vehicles, both acknowledged the agreement as part of ongoing plans related to energy transition within manufacturing. The company’s plants in Gujarat and Maharashtra are expected to benefit from the move.

Read More: Tata Motors Shares in Focus as JLR Evaluates Response to New US Tariffs.

Share Price Performance

As of 12:43 PM on April 22, 2025, Tata Power Company share price was trading at ₹390.55, down 0.077%. The stock has seen a 4.73% gain over the last week and a 4.12% rise in April 2025. Year-to-date, the stock is down 0.40%. Tata Power’s market capitalisation stood at ₹1.25 lakh crore as of April 21. At the same time, Tata Motors share price stood at ₹629.90, down 0.024%.

Conclusion

The 131 MW project adds to Tata Motors’ renewable energy capacity and involves long-term collaboration with Tata Power. It is to also support operations at multiple manufacturing sites while contributing to emission reductions.

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