Tata Group Power Company Secures 324 MW Pumped Storage Project from SECI; Check Details

On Monday, Indian equity benchmarks traded lower, with the benchmark Nifty 50 index declining 95.80 points, or 0.39 per cent, to 24,238.50. Despite the weak broader market sentiment, Tata Power share price gained 1.87 per cent to Rs 384.30, rising Rs 7.05, after the company announced that it had received a Letter of Award (LOA) from the Solar Energy Corporation of India Limited (SECI) for providing pumped storage services through a 324 MW / 2,592 MWh Pumped Storage Plant (PSP).

Tata Power Secures SECI Pumped Storage Project

Tata Power informed the stock exchanges that it has received a Letter of Award from SECI, a Government of India enterprise, for providing pumped storage services from a 324 MW / 2,592 MWh Pumped Storage Plant. Under the terms of the award, the company will provide energy storage services for 40 years from the scheduled commencement of supply at an agreed annual fixed charge and annual cycle loss. SECI will execute the Pumped Storage Purchase Agreement (PPA) with Tata Power after signing the Pumped Storage Sale Agreement with the buying entities. The company is required to commence the supply of storage capacity within 36 months from the effective date of the PPA.
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The project carries an annual fixed charge of Rs 1.0841826 crore per MW per year, resulting in a total annual fixed charge of approximately Rs 351.3 crore for the 324 MW capacity. The agreement also provides for an annual cycle loss of 24.61 per cent. The project is expected to strengthen India's energy storage infrastructure by supporting the integration of renewable energy into the national power grid through large-scale pumped hydro storage solutions.

About Tata Power

The Tata Power Company Limited is one of India's largest integrated power companies with operations across power generation, transmission, distribution, renewable energy, rooftop solar, electric vehicle charging infrastructure and energy storage solutions. The company continues to expand its clean energy portfolio through investments in solar, wind, hydro and pumped storage projects, supporting India's transition towards a more sustainable and reliable energy ecosystem.

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Disclaimer: The article is for informational purposes only and should not be construed as investment advice.