Tata Power Company Ltd announced on Friday (March 7) that its subsidiary, Tata Power Renewable Energy Ltd (TPREL), has signed a Memorandum of Understanding (MoU) with the Government of Andhra Pradesh.
The agreement aims to collaborate on the development of renewable energy projects with a cumulative capacity of up to 7,000 MW (7 GW) in the state. The projects will include solar, wind, and hybrid energy solutions, with or without storage systems.
The estimated investment for these projects is approximately ₹49,000 crore, marking one of the largest renewable energy investments in Andhra Pradesh.
This initiative aligns with the state’s Integrated Clean Energy (ICE) Policy, which targets the development of over 160 GW of renewable energy with an investment potential of ₹10 lakh crore.
Beyond advancing Andhra Pradesh’s clean energy goals, the projects are expected to significantly contribute to the local economy.
They will create employment opportunities, foster skill development, and support livelihoods, thereby promoting socio-economic growth in the region.
As part of the agreement, TPREL will conduct preliminary assessments, feasibility studies, and development activities to explore the viability of the proposed projects.
The New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) will provide essential support, including facilitation, site identification, and assistance with evacuation infrastructure.
Deepesh Nanda, CEO and Managing Director of TPREL, highlighted the significance of the partnership, stating, “By leveraging our expertise and cutting-edge technology, this collaboration will drive large-scale renewable energy adoption and contribute to India’s sustainability goals. Developing up to 7 GW of clean energy projects will further strengthen Andhra Pradesh’s position as a renewable energy hub and accelerate its transition towards a low-carbon economy.”
On March 07, 2025, Tata Power share price traded 2.42% higher, at ₹359.80. According to BSE data, the stock recorded a total traded volume of 2.20 lakh shares, translating to a turnover of ₹7.89 crore.
According to exchange data, Tata Power shares are trading at a price-to-earnings (P/E) ratio of 32.21x, based on its trailing 12-month earnings per share (EPS) of ₹11.17, and a price-to-book (P/B) ratio of 6.78 at the current price.
The partnership between TPREL and the Andhra Pradesh government underscores Tata Power’s commitment to advancing India’s renewable energy landscape. It also reflects the state’s proactive approach to achieving its clean energy targets and fostering sustainable development.
This collaboration is expected to play a pivotal role in transforming Andhra Pradesh into a leading renewable energy hub while contributing to India’s broader sustainability and climate action objectives.
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Published on: Mar 10, 2025, 10:19 AM IST
Dev Sethia
Dev is a content writer with over 2 years of experience at Business Today, Times of India, and Financial Express. He has also contributed stories in Hindi for BT Bazaar and Khalsa Bandhan News Paper. A journalism postgraduate from ACJ-Bloomberg, Dev enjoys spending his spare time on the cricket pitch.
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