Tata Steel to acquire 26% stake in Tata Power Renewable Energy arm TPVSL

Tata Power Renewable Energy's wholly-owned subsidiary, TP Vardhaman Surya (TPVSL), will receive a 26% interest from Tata Steel. In addition, TSL will sign a fixed-tariff long-term contract with TPVSL to source 379 MW of captive renewable energy, which will reduce carbon emissions by 50 million tonne over the course of the 25-year deal.

One of the largest industrial power projects in the country under the group captive sector will be established by TPVSL when a 966 MW solar-wind hybrid renewable energy complex is built. In addition to meeting the needs of Tata Steel Kalinganagar and the Electric Arc Furnace project in Ludhiana, Punjab, this arrangement will replace a portion of the current coal-based power generation at Tata Steel Jamshedpur.

In order for the company to achieve Net Zero carbon emissions by 2045, TV Narendran, Managing Director of Tata Steel, said that the relationship with Tata Power Renewable Energy is a critical first step. The company will create a 24/7 hybrid renewable power plant for Tata Steel, according to Tata Power's managing director, Praveer Sinha. It will be one of the biggest industrial group captive plants in the nation and, by considerably lowering carbon emissions, will help them achieve their clean energy targets.