Tata Steel to enter into agreement with TPREL to source 379 MW of renewable power

Tata Steel Limited (TSL) has completed negotiations to enter into definitive agreements with Tata Power Renewable Energy Limited (TPREL) and TP Vardhaman Surya Limited (TPVSL) for the acquisition of 26 per cent stake in TPVSL, which is currently a fully owned subsidiary of TPREL.

As part of this agreement, TSL will also establish a long-term fixed-tariff contract with TPVSL, allowing them to procure 379 MW of captive renewable power. This initiative is expected to result in reduction of 50 million tonnes of carbon emissions over the contract period of 25-year. TPVSL, will develop around 966 MW solar-wind hybrid renewable power facility, positioning it as one of the largest industrial power projects in the group captive segment within the country. This arrangement will replace a part of the existing coal-based power generation at Tata Steel Jamshedpur and cater to the requirements at Tata Steel Kalinganagar and the Electric Arc Furnace project at Ludhiana, Punjab.