Tata Power Ltd shares are under the radar, on Tuesday, after its renewable energy arm entered into an agreement with Tata Motors for a solar power project.
In a stock exchange filing on Monday, the company said that its subsidiary Tata Power Renewable Energy Ltd (TPREL) has signed a Power Purchase Agreement (PPA) with Tata Motors Ltd Pantnagar plant in the state of Uttarakhand, for an on-campus solar plant having a capacity of 9MWp.
The said facility will be the largest on-campus solar plant at a single location in Uttarakhand. Also, the installation of the said plant will lead to a reduction in carbon emissions of an estimated 25 tonnes of CO2/kWp in the northern state, the company said.
The project is slated to be commissioned in six months from the execution date of the power purchase agreement.
With this new project, the combined solar capacity of Tata Motors Pantnagar plant now stands at 16 MWp.
The Tata Group company’s operational capacity stands at an impressive 4,132MW, including 3,139MW solar and 993MW.
“The 9MWp solar power installation resonates our commitment to fostering the widespread adoption of eco-friendly clean energy solutions across industries,” said CEO of TPREL, Ashish Khanna.
This is not the first time the two companies are working in partnership.
Tata Power said that TPREL and Tata Motors have successfully put in place a solar project of 7 MWp capacity in the manufacturing facility of Pantnagar, under an earlier partnership.
Shares of Tata Power were trading 0.56 per cent higher at Rs 240.70 per piece on the BSE at 1:01 pm.