Tata Power Arm Wins Order For 400-MW Green Energy Project In Maharashtra

Tata Power Co.'s subsidiary, Tata Power Renewable Energy Ltd., has received a Letter of Award from the Maharashtra State Electricity Distribution Co., for the development of a 400 megawatt wind-solar hybrid project in Maharashtra.

The LoA includes an original contracted capacity of 200 MW, along with a greenshoe option for an additional contracted capacity of 200 MW, as per an exchange filing on Wednesday.

This project is the largest renewable energy project in Maharashtra till date for Tata Power Renewable Energy, as per the filing.

This initiative aligns with MSEDCL's efforts to fulfill the state's Renewable Purchase Obligation and meet future power demands at competitive tariffs.

The project is slated for completion within 24 months of signing the power purchase agreement between TPREL and MSEDCL. Once operational, it is expected to reduce carbon emissions by 895 million kilograms of carbon dioxide annually.

The hybrid project, integrating both solar and wind energy, will supply electricity to MSEDCL, enhancing the state's renewable energy portfolio and promoting sustainable energy. Additionally, it will make efficient use of local land resources, contributing to regional development in Maharashtra.

Shares of Tata Power were trading 0.79% lower at Rs 441.55 apiece, as of 1:20 p.m., compared to a 0.09% decline in the BSE Sensex.

The stock has risen 68.24% in the last 12 months. Total traded volume so far in the day stood at 0.41 times its 30-day average. The relative strength index was at 56.13.

Out of 22 analysts tracking the company, 12 maintain a 'buy' rating, one recommends a 'hold' and nine suggest 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 9.4%.