Tata Power acquires Bikaner-Neemrana Transmission Project

Tata Power has secured the bid to acquire Bikaner-III Neemrana-II Transmission, a project special purpose vehicle (SPV) established by PFC Consulting. This acquisition comes after Tata Power emerged as the successful bidder in the Tariff-Based Competitive Bidding (TBCB) process, in line with the Union Ministry of Power's guidelines.

The project, to be developed on a Build-Own-Operate-Transfer (BOOT) basis, aims to facilitate the transmission of 7.7 GW of renewable energy from the Bikaner Complex in Rajasthan through the establishment of a ~340 km transmission corridor from Bikaner-III pooling station to Neemrana II substation. Tata Power will operate and maintain the transmission project for 35 years, with an estimated cost of Rs 1,544 crore and an expected commissioning period of 24 months from the transfer of the project SPV.

Once operational, this project will play a crucial role in the Ministry of Power's plan to integrate over 500 GW of renewable energy capacity into the national grid by 2030.

Tata Power is a leading integrated power company and a part of Tata Group, India's largest multi-national business conglomerate. The company has a diversified portfolio of 14407 MW, spanning across the entire power value chain - from renewable and conventional energy generation to transmission & distribution, trading, storage solutions and solar cells and module manufacturing.

The company reported 9% jump in consolidated net profit to Rs 1,017 crore in Q2 FY24 as compared with Rs 935 crore in Q2 FY23. Revenue from operations increased 9% YoY to Rs 15,442 crore during the quarter.

Shares of Tata Power rose 2.91% to Rs 275.75 on 1 December 2023.

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