Tata Power Subsidiary to Invest Rs 6,500 Crore in 10 GW Photovoltaic Manufacturing Facility

Tata Power's Renewable Energy Arm to Invest ₹6,500 Crore in Solar Manufacturing Facility

Tata Power announced on Thursday that its subsidiary, Tata Power Renewable Energy Limited (TPREL), will invest ₹6,500 crore in a photovoltaic ingot and wafer manufacturing facility with a capacity of up to 10 GW.

The proposed facility will support the company's backward integration efforts, reducing dependence on imports, particularly from China, which currently dominates the market. By entering the upstream solar photovoltaic (PV) manufacturing segment, specifically PV ingot and wafer manufacturing, TPREL aims to supply key inputs for downstream cell and module manufacturing, thereby strengthening its position in the solar value chain.

The project's strategic benefits include an early mover advantage in a capacity-constrained domestic market, enhanced supply security for downstream operations, and improved margins through vertical integration. The proposed investment is expected to yield strong financial returns, with a projected payback period of approximately five years.

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The facility will be built in two phases, each with a capacity of 5 GW, and is expected to align with India's policy-driven push towards domestic self-reliance in solar manufacturing. The project also positions TPREL to leverage policy incentives and demand protection mechanisms, supporting national manufacturing priorities.

The proposed investment is expected to support Tata Power's growth and expansion in the renewable energy sector, positioning the company as a key player in India's solar manufacturing landscape.