Multibagger Company Inks Deals with MSEDCL for 200 MW and 150 MW Solar Projects

Tata Power is a leading integrated power company in India, along with its subsidiaries and jointly controlled entities, possessing a total installed/managed capacity of 14,302 MW. The company has a strong presence across the entire power value chain, including renewable and conventional power generation, transmission & distribution, and trading. Tata Power is a pioneer in clean energy generation, with 38% of its portfolio comprising 5,442 MW of clean energy from solar, wind, hydro and waste heat recovery.

Tata Power Renewable Energy Limited (TPREL), a subsidiary of Tata Power, has entered into significant Power Purchase Agreements (PPAs) with Maharashtra State Electricity Distribution Company Limited (MSEDCL) for two solar power projects of 200 MW and 150 MW in Maharashtra. These projects will play a crucial role in meeting the state’s renewable energy targets and contribute to combating climate change. The solar installations are expected to be commissioned by mid-2025 and collectively reduce CO2 emissions by over 7,40,000 tons annually.

TPREL has already tied up 930 MW with MSEDCL and aims to commission the remaining capacity in the next 12-18 months. Overall, TPREL’s total renewables capacity stands at 7,783 MW, with 4,118 MW already installed and 3,665 MW under various stages of implementation. The 200 MW solar project from phase 9 tender will produce 536 million units of power, while the 150 MW solar project from phase 7 tender will generate 389 million units of power.

The company has delivered stellar returns of 371% over the past 3 years and significant returns of 223% over the past 5 years. Additionally, the company has a ROCE of 12.4% and a ROE of 12.6%.

On Wednesday, shares of the company plunged by 3.91% and traded at Rs 234.85.

Investors should keep a close eye on this trending stock.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.