Tata Power Co. plans to expand its annual capital expenditure, targeting nearly Rs 60,000 crore over the next three years, to pander to the rising demand for power, according to Managing Director and Chief Executive Officer Praveer Sinha.
"We have allocated Rs 20,000 crore for capex this year, with Rs 4,000 crore already invested in the first quarter," he told NDTV Profit's Niraj Shah in an interview. The plan is to expand its transmission and hydro businesses, he said. The company has 2,800 megawatt of pumped hydro capacity and is planning to develop a 600-megawatt hydro plant in Bhutan, he said.
There are opportunities to launch new projects within the renewable energy sector, Sinha said.
The power generating company currently has a pipeline of nearly 8 GW. Out of the 8GW of power, 5GW are from their own utility-scale projects and 3GW from third-party engineering, procurement, and construction contracts, he said. "We plan to implement over 3 GW this financial year and expect to deploy more than 4 GW in the next financial year."
Tata Power's net profit rose 4% year-on-year to Rs 1,189 crore for the three months ended June 2024, according to an exchange filing. Analysts tracked by Bloomberg estimated a profit of Rs 957 crore.
"Over the past four years, we have doubled our revenue," said Sinha. This is on top of a significant increase in their Ebitda and profit. He emphasized that the initiatives undertaken by the company will start showing results in the upcoming quarters. "We are confident in continuing our strong performance, as we have in recent quarters."
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