Tata Power buys 39 MW wind energy farm in Gujarat

Tata Power has inked a deal to acquire AES Saurashtra Windfarms, a subsidiary of US-based AES Corp, which owns a 39.2 MW wind energy farm in Gujarat, Tata Power said Tuesday.

The purchase was made through the Tata Power subsidiary, Tata Power Renewable Energy, for an undisclosed amount.

"The project (wind energy farm) which is fully operational since January 2012 has executed a power purchase agreement with GUVNL (Gujarat Urja Vikas Nigam Ltd) for sale of the electricity at a tariff of Rs.3.56/kWh for the duration of the project," Tata Power said.

The acquisition is subject to certain conditions which are expected to be addressed in a few months time, the statement added.

The project is registered with United Nations Framework Convention on Climate Change as a Clean Development Mechanism project and is eligible to receive carbon credits. It is also registered to get generation based incentives given by the Ministry of New and Renewable Energy.

With this acquisition, Tata Power's total generation capacity now stands at 8,560 MW of which 437 MW capacity is from wind energy.

"Tata Power is committed to generating 20-25 percent of its total generation capacity from clean energy sources and is proud to have signed this share purchase agreement to acquire 39.2 MW operational wind farm.

"This is our second acquisition of an operating wind asset and we are in constant look out for similar opportunities in respect of wind and solar plants," said managing director Anil Sardana.