(Reuters) – India’s Tata Power Renewable Energy Ltd (TPREL) said on Friday it is exploring setting up 7 gigawatts (GW) of green energy projects in the southern state of Andhra Pradesh at an investment of 490 billion Indian rupees ($5.63 billion).
CONTEXT
TPREL, a unit of Tata Power, is looking into clean energy projects including solar, wind and hybrid, with or without storage solutions, making it one of the largest renewable energy investments in Andhra, the company said.
Tata Power has plans to invest up to $9 billion to scale up its renewable energy capacity over the next five years.
WHY IS IT IMPORTANT
India has committed to setting up 500 GW of non-fossil fuel electricity generation capacity by 2030 but is still falling short of its previously set target to add 175 GW by 2022.
Separately, states are aiming to develop their own clean energy portfolio as they find buying power from federal projects expensive and also due to the lack of interstate transmission infrastructure.
Andhra aims to develop more than 160 GW of renewable energy, with a potential investment of 10 trillion rupees.
Even as India issued a record 73 gigawatts of utility-scale renewable energy tenders in 2024, about 8.5 GW was undersubscribed due to complex tender structures and delays in interstate transmission readiness.
India’s cumulative unsigned renewable power sale agreement capacity has exceeded 40 GW.
($1 = 87.0400 Indian rupees)
(Reporting by Sethuraman NR; Editing by Shreya Biswas)
