Tata Power bags LoA for solar project from KSEBL

The integrated power company has received a Letter of Award (LoA) from Kerala State Electricity Board (KSEBL) on 6 January 2021 to develop a 110 MW solar project.

Tata Power said that the energy will be supplied to Kerala State Electricity Board (KSEBL) under a Power Purchase Agreement (PPA) valid for a period of 25 years from scheduled commercial operation date. The firm won this capacity in a bid announced by KSEBL in September 2020. The project, worth approximately Rs 488 crore, is to be commissioned within 18 months from the date of execution of the PPA.

The plant is expected to generate about 274 million units (MUs) of energy per year and will annually offset approximately 274 million Kg of CO2.

With this, Tata Power Co.'s renewable capacity will increase to 4,032 mega-watt (MW), out of which 2,667 MW is operational and 1,365 MW is under implementation including 110 MW won under this LoA. The announcement was made during market hours today, 7 January 2021.

Shares of Tata Power fell 0.36% to Rs 82.15. Tata Power is one of India's largest integrated power company and together with its subsidiaries & jointly controlled entities, it has an installed/ managed capacity of 12,772 MW.

On a consolidated basis, the power utility's net profit rose 5.7% to Rs 370.93 crore on 8% increase in net sales to Rs 8,289.81 crore in Q2 September 2020 over Q2 September 2019.

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