Tata Power posted a 25% y-o-y drop in net profit to Rs 772 crore in Q3FY26 and its revenues fell 9.4% y-o-y to Rs 13,948 crore. Praveer Sinha, managing director and CEO, Tata Power, in an interview with Raghavendra Kamath, shared his Q4 outlook and the company’s future plans.
Your profit and revenue growth were subdued in Q3. What is your outlook for Q4?
It will be better than Q3. Our performance in the last 9 months has stabilised, whether it is rooftop, manufacturing, Odisha discoms or our existing transmission and distribution network. All of them will start giving better results in the coming quarter, because the foundation is good now. It will only improve going forward. We also expect Mundra to start in Q4.
What is your capacity expansion plan?
We are currently at about 6.3 GW and will do more than 500 MW in Q4. In the next financial year, we will do 3 GW. We will cross 10GW by the end of FY27. Our capex for FY27 will be around Rs 25,000 crore.
Cell prices have shot up in recent weeks leading to escalation in project costs. What is your view?
It is obvious. From June 1, we can use only domestic cells. A lot of plants in China have been shut or running on low capacity. So, there was little pressure everywhere. Things will stabilise. For those who have tied up supplies, there is no issue.
Do you think the US trade deal will offset the challenges posed by the US pulling out of International Solar Alliance?
We have got any opportunity. Exporters of solar modules will benefit from this. We will start exporting to US from next financial year.
You said you will divest assets in overseas markets. Which markets you are looking to divest?
We have a hydro power plant in Zambia and another in Georgia. These are main ones we want to divest.
Industry body PHDCCI has called for a separate Green Bank. Though Budget did not propose it, how it would have helped renewable sector?
Availability of capital would have improved. Cost of capital would have come down. Whole sector would have benefitted.
On what issues you are expecting clarity on nuclear energy participation?
On issues such as sourcing of fuel, licencing, technology tie up and so on.