India has been actively expanding its clean energy sector through various initiatives, particularly in solar and wind energy. However, despite some progress, the electric vehicle (EV) market has not seen similar growth. Tata Group, India’s largest business conglomerate and a significant player in the clean energy landscape, is taking steps to enhance both clean energy deployment and EV infrastructure.
Tata Power, a subsidiary of Tata Group, has recently announced a partnership with Druk Green Power Corporation, Bhutan’s only electricity generation utility. This collaboration aims to establish nearly 5,000 megawatts (MW) of clean energy generation capacity in Bhutan. The motivation behind this initiative is to improve energy security for Bhutan and facilitate regional electricity integration. Bhutan aims to escalate its total electricity generation capacity to 25,000 MW by 2040, transitioning from its traditional reliance on hydropower to include diverse sources like solar and geothermal energy. The majority of the initiatives from this partnership will focus on hydropower, although a 500 MW solar energy component will also be developed.
Tata Power emphasized the significance of this collaboration, stating, “With the support of the Royal Government of Bhutan and the Government of India, this marks the largest partnership between two of the leading power companies of the two nations in Asia’s clean energy sector.” The strategic partnership, which builds upon a history of over 15 years of collaboration, is seen as instrumental in maximizing Bhutan's hydropower potential and securing regional energy stability.
The projects under this partnership include a substantial 4,500 MW of hydropower, comprising notable initiatives such as the 1,125 MW Dorjilung Hydroelectric Project, the 740 MW Gongri Reservoir, and the 1,800 MW Jeri Pumped Storage. Additionally, Tata Power Renewable Energy Limited, a subsidiary of Tata Power, is set to develop a further 500 MW of solar projects.
In a related development, Tata Power has forged a Memorandum of Understanding (MoU) with the Asian Development Bank (ADB) to finance strategic renewable and clean energy projects within India. This agreement encompasses an evaluation of financing for key projects like a 966 MW Solar Wind Hybrid project and a Pumped Hydro Storage Project. The partnership signifies a financial commitment of $4.25 billion aimed at supporting various initiatives geared towards energy transition, decarbonization, and battery storage.
Dr. Praveer Sinha, CEO & Managing Director of Tata Power, remarked on the significance of this collaboration, stating, “Our collaboration with the Asian Development Bank is a crucial step as we explore innovative financing solutions to drive transformative power sector projects.” He further reiterated that the MoU reinforces trends towards enhancing India’s clean energy capabilities and modernizing the power infrastructure, thereby aligning with the country’s ambitious clean energy objectives for sustainable growth.
These developments underscore the concerted efforts of Tata Power and its partners in both India and Bhutan to strengthen renewable energy infrastructure and achieve broader energy security.
Source: Noah Wire Services