Tata Power to invest ₹ 20,000 crore capex in FY25

The investment focuses on expanding small modular nuclear reactors and discoms due to the growing interest in consumer businesses in the emerging clean energy sector.

Tata Power, one of India’s leading integrated power companies, held its 105th annual general meeting (AGM) of shareholders for the financial year 2023–24.

In his speech to shareholders, Chairman Natarajan Chandrasekaran said that the company’s robust financial and operational performance is a sign of its commitment towards consistent growth, economic prudence, and project execution excellence. 

“Tata Power plans to invest ₹20,000 crore in capex in FY25. This is over and above the ₹12,000 crore invested in FY24. A large part of this will be towards accelerating the company’s renewable energy portfolio and balancing the transmission and distribution businesses. The company will explore participation in small modular nuclear reactors once the government gives the necessary permissions, apart from new distribution expansion opportunities in other states, as and when these opportunities arise in line with government policies,” said N. Chandrasekaran, Chairman, of Tata Power.

India is investing heavily in expanding small modular nuclear reactors (SMRs) and distribution companies to lead India’s green energy shift. The PM Surya Ghar Yojana is driving a strong push in the rooftop solar market, with ambitious plans to serve 50 million consumers, up from the current 12.5 million. This shift aims to provide constant renewable energy to businesses and industries.

Performance and Future Plans:

The company’s consolidated revenue grew by 10 per cent to ₹61,542 crore, while its PAT increased by 12 per cent to ₹—4,280 crore. The company maintained a net debt-to-equity ratio of less than 1, aiming to expand its clean energy portfolio to 15 GW within five years. It established a new 4.3 GW solar cell and module manufacturing plant in Tamil Nadu, leads the EV charging sector with 5,500 public and captive chargers, and is fully prepared to solarise homes through its ‘Ghar Ghar Solar’ initiative.