Tata Power Renewable Energy Limited (TPREL) has entered into Agreement with Tata Steel Limited (TSL) to deliver 379 MW of Renewable Power
21.10.2023
SKV Law Offices represented TPREL to enter into definitive Agreements with TSL to supply 379 MW of renewable power to TSL by establishing a solar-wind hybrid renewable power facility with a capacity of 966 MW. The said facility was to be established through the formation of a Special Purpose Vehicle (SPV), known as TP Vardhaman Surya Ltd. (TPVSL), a wholly owned subsidiary of TPREL.
Further, to meet the requirement of the Captive status under the Electricity Rules 2005, TSL will acquire a 26% stake in TPVSL through these Agreements, reinforcing its dedication to sourcing 379 MW of renewable power.
This project is set to become one of the largest industrial power projects in the group captive sector within India. This innovative project will replace a part of the current coal-based power generation at Tata Steel Jamshedpur and fulfil the energy needs at Tata Steel Kalinganagar and the Electric Arc Furnace project in Ludhiana, Punjab.
The transaction between TPREL and TSL is expected to have a significant impact on the renewable energy sector in India, leading to a transformation of the country’s energy landscape.
TPREL was advised by Mr. Pranav Bhaskar, Partner, along with Shri Venkatesh (Managing Partner), Ashutosh K. Srivastava (Counsel) assisted by Associates Nihal Bhardwaj and Tejaswi Dudeja.