Tata Power is looking to incur 2.5 times more capex over the next five years than the Rs 50,000 crore it spend between 2021 and 2025. “We will incur a capex of Rs 1.25 lakh crore between 2026 and 2030,” said Praveer Sinha, MD and CEO at the company’s cell and module plant in Tirunelveli in Tamil Nadu.
The company will incur a capex of Rs 25,000 crore every year, he said. The company spent Rs 12,000 crore in FY24 and Rs 21,000 crore in FY25.
“We have improved our performance and closed last year with nearly Rs 62,000 crore in revenues. We had an average revenue of Rs 60,000 crore in the last decade,” said Sinha.
He said the company’s Ebitda has moved up from an average of Rs 7,000 crore to Rs 12,000 crore in the previous year. Profit after tax has also grown to Rs 4,200 crore from Rs 1,100-1,200 crore.
“Foundation has been laid and now we are ready to leapfrog from our present level of revenues. We are looking at crossing Rs 1 lakh crore by 2030. From our Ebitda of about Rs 14,000 or Rs 15000 crore now, we are now looking to get to over Rs 30,000 crore in 2030,” he said.
The company has also set target of Rs 10,000 crore in profit by 2030. “We are growing our transmission business as well as our generation business,” he said.
The company is developing a 1,000 megawatt pumped storage project in Bhivpuri, a 1,800 MW project in Shirawata in Maharashtra and a 600 MW project in Bhutan, and plans to start another 1,125 MW project sometime later next year after its financial closure.
Tata Power will have nearly 5,000 MW of hydro projects by 2030, he said, adding that the company expects around 10,000 kms of transmission line under construction by 2030, from nearly 3,000 kms now.
Tata Power is also looking to add an additional 4 GW of cell and module production capacity at the new Tamil Nadu plant, but it would decide on scaling up capacity later, Sinha said.
The company has 12.5 million distribution customers, and seeks to take part in public-private partnerships in distribution with Uttar Pradesh and Rajasthan.
(The writer was in Tirunelveli at the invitation of Tata Power)