Tata Motors has signed a long-term power purchase agreement with Tata Power Renewable Energy Limited (TPREL) to co-develop a 131 MW wind-solar hybrid project aimed at powering six of its manufacturing facilities in Maharashtra and Gujarat. The project, estimated to cost around INR 650 crore based on typical infrastructure benchmarks for hybrid renewable systems, is projected to generate 300 million units of clean electricity annually and offset more than 2 lakh tonnes of CO₂ emissions each year.
This partnership represents a significant step towards Tata Motors’ commitment to achieving RE-100 compliance—where 100 percent of operational electricity demand is sourced from renewable energy—before it’s stated 2030 target. The hybrid energy initiative will cater to both passenger and commercial vehicle production units and is expected to play a critical role in helping the company transition to a net-zero emissions profile in the coming decades.
This project is structured as a co-investment model, with Tata Motors securing dedicated green energy under a direct power purchase agreement. Such an arrangement helps lock in stable long-term electricity costs while insulating operations from fossil fuel price volatility. More importantly, it reduces scope-2 emissions, a key parameter in environmental disclosure frameworks increasingly used by investors and regulatory agencies.
For Tata Power Renewable Energy the deal adds to its growing portfolio of hybrid power systems. Hybrid systems—combining wind and solar—are gaining traction in India as a more consistent solution to renewable power supply compared to standalone installations. This model allows for round-the-clock generation by compensating for the intermittency of solar during nights and monsoon periods through wind.
Also Read