Tata Power expands green energy power generation capacity by 646.7 MW
Apr 16,2014
Tata Power, one of India’s largest integrated
power companies, today announced that the Company plans to increase generation
capacity to 646.7 MW from green energy sources by executing projects which
are in advance stages. Tata Power has a gross installed capacity of 912 MW
from clean energy sources of which 447 MW comes from hydropower, and 465
MW comes from renewable sources of energy, namely, wind and solar power.
Tata Power’s clean energy projects comprise of hydro power projects
in Maharashtra with gross installed capacity of 447MW; wind farms in Maharashtra,
Gujarat, Karnataka, Tamil Nadu and Rajasthan, with gross installed capacity
of 437MW and solar projects in Maharashtra, Gujarat and Delhi, with gross
installed capacity of 28MW.
Tata Power’s clean energy projects under execution in domestic and
international markets include:
Palaswadi: Tata Power has entered into a PPA with Tata Power Renewable Energy
Limited (“TPREL”) for purchase of solar energy from the 25 MW
AC Solar Plant located at Palaswadi, Maharashtra. The PPA has been entered
into for a term of 25 years commencing from March 31, 2014. The project is
currently under execution and is expected to be commissioned in Fiscal Year
2015.
Visapur: Tata Power has entered into a PPA with TPREL for purchase of wind
energy from the 32MW wind energy project located at Ambheri, in the Satara
district in Maharashtra. The project is currently under execution and is
expected to be commissioned in Fiscal Year 2014. The PPA shall remain valid
till December 31, 2027. The requisite clearances have been issued by Ministry
of Mining and the Government of Maharashtra in relation to the labour at
the site and the extension of the grid connectivity.
Dagachhu Hydroelectric Power Project, Bhutan: The Dagachhu Hydroelectric
Power Project (“Dagachhu Project”) is a joint-venture wherein
Tata Power holds 26% stake as at December 31, 2013. The Dahgachhu Project
is proposed to have an installed capacity of 126 MW and is being implemented
in Bhutan by Dagachhu Hydro Power Corporation Limited. On June 25, 2008,
Dagachhu Hydro Power Corporation Limited entered into a PPA with TPTCL, which
was subsequently amended on September 12, 2008, whereby TPTCL shall purchase
and import power generated at the Dagachhu Project into India. This PPA is
valid for a period of 25 years from the date of commissioning of the Dagachhu
Project.
Pethshivpur: On January 16, 2014, Tata Power has entered into a PPA with
TPREL for purchase of wind energy from the 49.5 MW wind energy project being
developed by TPREL for generating and selling renewable electrical energy
to the beneficiary entities. The PPA shall commence from June 01, 2014 and
remain effective up to May 31, 2027. This project currently under execution
and is expected to be commissioned in Fiscal Year 2015.
Tsitsikamma: It is a 94.8 MW wind power generation project currently under
execution in South Africa and is expected to be commissioned in Fiscal Year
2017. Tata Power is developing this project through its joint-venture company,
Cennergi. As at December 31, 2013, Tata Power holds 50% share and Exxaro
Resources Limited holds 50% share in Cennergi. A PPA has been signed with
Eskom Holdings SOC Limited (“Eskom”) for sale of power for a
period of twenty years from the date of commencement of commercial operations.
Amakhala Emoyeni: It is a 134.4 MW winder power generation project, located
approximately 14 kilometres south west of the town of Bedford in the Eastern
Cape, expected to be commissioned in Fiscal Year 2017. Tata Power is developing
this project through its joint-venture company, Cennergi. A PPA has been
signed with Eskom for sale of power for a period of twenty years from the
date of commencement of commercial operations.
Georgia: Adjaristsqali Georgia LLC (AGL) is developing hydroelectric projects
in Southwest Georgia. AGL is a joint-venture company wherein Tata Power is
one of the joint venture partner. As at December 31, 2013, Tata Power holds
40% interest in AGL. AGL is expected to export power to Georgia and Turkey.
AGL also has the option to enter into an off-take agreement with Energy System
Commercial Operator (“ESCO”), an entity of the Government of
Georgia. Alternatively, AGL could sell electricity directly to customers
or in the spot market in Georgia. Civil work for this project is currently
in progress and the project is expected to be commissioned in Fiscal Year
2017. The project is registered with the United Nations Framework Convention
on Climate Change as a carbon development mechanism project and validation
received in November 2013.
Speaking on this development, Mr. Anil Sardana, Managing Director, Tata
Power stated- “We are one of the largest independent power producers
in India, with a strong track record of successful implementation of large
and complex projects across the power sector. Our clean and renewable energy
projects will allow us to reduce the overall carbon footprint and further
diversify our energy portfolio to reduce fuel price risk. We intend to continue
to improve our operational efficiency across all our businesses in the coming
years.”
The Company is constantly monitoring opportunities for the further development
of wind power projects in India. Tata Power is also actively exploring hydroelectricity
opportunities, the feasibility of standalone biomass-based power plants and
possibilities for geothermal generation.
The Tata Power Company Limited is proposing, subject to market conditions
and other considerations, to make a rights issue of its securities and has
filed a letter of offer with the Securities and Exchange Board of India ("SEBI"),
BSE Limited and National Stock Exchange of India Limited.
The letter of offer is available on the website of SEBI at www.sebi.gov.in
and the respective websites of the lead managers at www.jmfl.com, www.bnpparibas.co.in,
http://www.hsbc.co.in/1/2/corporate/equities-globalinvestment-banking, http://www.investmentbank.kotak.com/,
www.sbicaps.com. Investors should note that investment in equity shares involves
a high degree of risk and for details relating to the same, please see 'Risk
Factors' in the letter of offer.
About Tata Power:
Tata Power is one of India’s largest integrated power companies with
a growing international presence. The Company together with its subsidiaries
and jointly controlled entities has an installed gross generation capacity
of approximately 8,560 MW in India and a presence in all the segments of
the power sector viz. Fuel Security and Logistics, Generation (thermal, hydro,
solar and wind), Transmission, Distribution and Trading. For further information,
visit us at: www.tatapower.com
For further information, please contact:
Shalini Singh
Chief, Corporate Communications
The Tata Power Company Limited
Phone: 022 - 6665 8748
Email: shalinis@tatapower.com
Sahana Chowdhury/ Abhinav Srivastava
Rediffusion / Edelman
9619438295/ 9892323750
Email: sahana.chowdhury@edelman.com /
abhinav.srivastava@edelman.com
