In a recent interview with Power Line, Nilesh Kane, Chief – Transmission and Distribution, Tata Power, talked about the company’s achievements and future plans for its Mumbai Distribution business. He highlighted the significant progress made in advancing green energy adoption, enhancing customer service and deploying smart grid technologies. He also shared insights on operational challenges faced, financial strategies and the strategic importance of the recently approved 100 MW battery energy storage system (BESS) in strengthening Mumbai’s power infrastructure.
What have been the key focus areas and milestones for Tata Power Mumbai Distribution over the past year?
Over the past year, Tata Power Mumbai Distribution has sharpened its focus on three strategic pillars – reliability, customer centricity and sustainability through innovation. These priorities have shaped key initiatives and delivered measurable outcomes, positioning the utility as a key player in the power distribution sector both nationally and globally.
Reliability has been a critical focus in Mumbai’s dense urban environment, where uninterrupted power is essential to the city’s economic and social fabric. Tata Power has delivered exceptional performance, achieving a system average interruption duration index of 4.14 minutes and a system average interruption frequency index of 0.38 – among the lowest in India and at par with global benchmarks.
It also recorded low aggregate technical and commercial (AT&C) losses of 0.40 per cent, with billing efficiency exceeding 99 per cent and collection efficiency surpassing 100 per cent, reflecting the strength of its technical and commercial systems.
Customer centricity has remained central to Tata Power’s strategy, especially in an era where seamless service is as vital as supply reliability. The digital payment index rose to 88 per cent, reflecting a wide adoption of digital platforms. Call centre operations are now benchmarked against sectors like telecom and retail, underscoring Tata Power’s commitment to service excellence.
Sustainability through innovation has been the third key pillar, reinforcing Tata Power’s commitment to building a greener, future-ready energy ecosystem. The discom has further cemented its role as a frontrunner in clean energy adoption by facilitating over 1,665 MUs of renewable and 724 MUs of hydropower supply in FY2025, reaching 2,389 MUs of clean and green energy, which is about 40 per cent of the overall supply. The company has enabled consumer participation in clean energy through rooftop solar net metering, open access and group captive models. At the infrastructure level, Tata Power has started phasing out SF6 breakers and introduced standardised, eco-friendly alternatives.
These efforts have been widely recognised, as Tata Power Mumbai Distribution has earned an A+ rating in the national rankings of discoms and has received several other accolades for its services and initiatives. Looking ahead, the company will continue to evolve as a smart, sustainable and consumer-first utility – leading with purpose, driven by innovation and committed to inclusive, green growth aligned with India’s energy transition.
What are the major operational and financial challenges facing the Mumbai Distribution business today?
Tata Power Mumbai Distribution operates at the core of one of India’s most densely populated and rapidly evolving urban centres. The combination of ageing infrastructure, accelerated vertical development and rising consumer expectations presents a unique set of operational challenges. While earlier solutions like tower-mounted substations served the purpose, the scale and pace of Mumbai’s vertical expansion have compelled Tata Power to completely reimagine its infrastructure strategy.
In response, the utility has implemented advanced infrastructure solutions such as compact substations, which reduce spatial footprint by up to 50 per cent, and vertical substations integrated within high-rise buildings. One such example is the substation commissioned as high as the 44th floor of a premium residential tower.
Further, recognising Mumbai’s vulnerability to waterlogging, Tata Power is also working on underground substations designed to remain operational even during heavy flooding – a move that exemplifies forward-thinking infrastructure design. These physical upgrades are further supported by the deployment of ester-filled transformers and compact, extensible feeder pillars, marking a decisive shift towards resilient, space-efficient and environmentally responsible urban power systems.
Parallel to physical infrastructure innovation, Tata Power has strengthened its technological backbone to manage Mumbai’s dynamic and growing load profile. To ensure efficient, reliable operations, the utility has accelerated the deployment of smart grid technologies such as advanced metering infrastructure (AMI), supervisory control and data acquisition (SCADA) and distribution management systems. By anticipating urban constraints, adapting infrastructure and maintaining robust financial health in a competitive regulatory environment, Tata Power Mumbai Distribution exemplifies future-ready urban utility leadership – resilient, agile and committed to serving Mumbai’s ever-growing energy needs.
What smart grid and automation initiatives has Tata Power Mumbai Distribution undertaken to modernise its network?
In an era where electricity distribution must keep pace with the scale, speed and complexity of urban growth, automation and digital technologies have become indispensable. For Tata Power Mumbai Distribution, smart grid modernisation is not a one-time initiative but a continuous transformation aimed at future-proofing the network, enhancing grid resilience and delivering an elevated consumer experience. With over 220,000 smart meters already deployed, Tata Power aims to extend this digital infrastructure to all its 800,000 consumers by FY2027, accelerating Mumbai’s transition to a fully digital energy ecosystem.
Artificial intelligence and machine learning are being increasingly leveraged for predictive maintenance. Data-driven models analyse thermal scans and forecast equipment failures, while BOLA (Better Operations and Life by Analytics) sensors embedded in transformers and switchgear monitor temperature and humidity, facilitating preventive action and extending asset life.
Tata Power has also pioneered consumer-driven grid participation through India’s first-of-its-kind Demand Response Programme, with over 125,000 registered consumers. In the past year alone, 10 events under this initiative led to a cumulative demand reduction of 100 MW.
To strengthen grid resilience further, Tata Power is rolling out BESS at 10 strategic locations. Controlled centrally via an advanced energy management system integrated with SCADA and managed through the power system control centre, these storage systems will optimise reactive power management, address peak demand and seamlessly integrate with distributed renewable energy assets.
Internet of things-led innovations are also contributing to improved infrastructure monitoring. Long range-based substation systems now track equipment health and environmental conditions in real time, providing early warnings to prevent potential failures. Additionally, the Auto Transfer Scheme ensures instantaneous switchover to backup feeders during faults, maintaining uninterrupted supply even in critical situations.
Cloud technology drives many of these advancements, providing a scalable foundation for real-time analytics, remote diagnostics and consumer-focused service delivery. By leveraging cloud intelligence, Tata Power is transitioning from reactive grid management to predictive and prescriptive operations – improving efficiency, optimising performance and enhancing the customer experience.
Through its integrated smart grid and automation strategy, Tata Power Mumbai Distribution is redefining the role of a utility in a megacity. It is not just about power supply – it is about building an intelligent, responsive and inclusive energy ecosystem that anticipates tomorrow’s challenges while consistently delivering excellence today.
How critical is the recent Maharashtra Electricity Regulatory Commission (MERC) approval for the 100 MW BESS project in advancing the company’s long-term energy transition goals?
The recent approval by the MERC for Tata Power Mumbai Distribution to install a 100 MW BESS marks a significant step forward in the company’s energy transition journey. Scheduled for deployment across 10 strategic locations in Mumbai over the next two years, the BESS will play a pivotal role in strengthening grid resilience. One of its most critical features is the ability to provide rapid black start capabilities, enabling the swift restoration of power to essential services such as hospitals, metro systems and data centres during outages.
Beyond emergency support, the BESS will facilitate peak load management and deliver key ancillary services, including frequency regulation and voltage stabilisation. These capabilities are essential for maintaining grid stability during periods of high demand. Additionally, the system will optimise the use of renewable energy by storing excess solar power generated during the day and discharging it during peak consumption hours, ensuring a more efficient and reliable integration of clean energy into Mumbai’s power grid.
What are the key operational benefits and anticipated use cases of this BESS within Mumbai’s power ecosystem?
The 100 MW BESS is a strategically designed solution aimed at addressing the multifaceted demands of Mumbai’s dynamic power ecosystem. Engineered to provide instant emergency backup, the system will ensure uninterrupted power supply to critical infrastructure such as hospitals, metro networks, airports and data centres during grid outages – safeguarding essential services and preventing large-scale blackouts. The BESS also supports a greater integration of renewable energy by storing surplus solar power during the day and releasing it during evening peak hours.
As a flagship project in distributed energy infrastructure, the 100 MW BESS sets a new industry benchmark and further cements Tata Power’s leadership in building a cleaner, smarter and more reliable power network for Mumbai.