Tata Power to invest ₹1.2 trillion in Rajasthan for power distribution, transmission and green transition

Tata Power has signed a memorandum of understanding (MoU) with the Rajasthan government to develop power distribution, transmission, and green energy projects, marking a significant expansion of its renewable energy footprint in the state. 

The agreement, signed at the 'Rising Rajasthan Investor Meet' in the national capital on Monday, includes a wide range of initiatives, from solar module manufacturing and EV charging infrastructure to nuclear power and rooftop solar installations.

Tata Power aims to provide round-the-clock, clean, affordable, and reliable power, while also generating 28,000 jobs over the next decade. 

“This ambitious 10-year plan aims to support Rajasthan’s transformation into a power surplus state," the company said in a statement, highlighting investments across the entire power value chain, including renewable energy, transmission, and distribution.

Tata Power will invest ₹1.2 trillion, with ₹75,000 crore allocated to renewable energy projects, including 10 GW of capacity—6 GW solar and 4 GW hybrid—across Bikaner, Jaisalmer, Barmer, and Jodhpur. Additionally, the company plans to set up a 2 GW solar module manufacturing facility in Jodhpur with an investment of ₹2,000 crore.

Read this | Data explainer: India’s green energy goals face stiff test

To modernize the grid and reduce energy losses, ₹30,000 crore will be invested in upgrading transmission and distribution infrastructure. Tata Power is also exploring opportunities to develop a nuclear power plant and will invest ₹1,000 crore to establish 100,000 electric vehicle (EV) charging points across Rajasthan. The company plans to install rooftop solar systems for 1 million households under the PM Surya Ghar Yojana.

The initiative aligns with India’s target of achieving 500 GW of installed non-fossil capacity by 2030 and net-zero emissions by 2070. Tata Power emphasized the socio-economic impact of the MoU, stating that it will create over 28,000 direct jobs and bolster local industries in solar manufacturing and renewable energy innovations.

Read this | India’s renewable energy target may prove elusive without course correction

Already a major player in Rajasthan, Tata Power has till date commissioned 1 GW of solar projects, 185 MW of wind projects, and 130 MW of rooftop solar installations in the state. 

Shares of Tata Power closed at ₹482.70 apiece on Monday on the BSE, down 0.49% from previous close.