Tata Power Is At Focus As EV Trend Ramps Up: Know The Business Drivers

The Indian electric utility and generation company has seen tremendous growth and achievements in recent years and also has brighter growth prospects for the upcoming future.

Future Projects and Plans for Tata Power:

The Indian Power company is set to expand its business exponentially by powering up its solar energy capacity to more than 2.4GW per year and also expects to generate a revenue of Rs.10000 crores every year by the year 2027.

The EZ charge label of Tata Power has seen expansion across various areas, it has expanded to 85000 home chargers, more than 800 bus charging stations across 530 cities and around 5300 public charging points. According to a statement from Tata Power, India’s vision for a sustainable mode of transportation and also the government pushing electric vehicles through different schemes to ensure 30% of all vehicle sales in the country are electric by 2030 and for this, it is well prepared for the future of upcoming surge in Electric vehicles demand with its well structured EV Charging Stations Infrastructure. The company is also set to invest around Rs.55000 crores in the southern state of Tamil Nadu for its power generation work over the next 5 to 7 years. 

The company’s clean energy portfolio has 5,600 MW which is 39% of its total capacity and the company is committed to achieving 70% of it by 2030 and also 100% before 2045.

Generation Capacity

Tata Power has a generation capacity of 14,400 MW with this capacity it serves more than 1.25 crore consumers across the country, The company operates its business in India, Singapore, Africa, Mauritius, Bhutan and Zambia.

TATA Power Stock Performance:

The Tata Power stock has been a multi-bagger stock, the shares are up by 116.25% in the past year, The company is expected to report its earnings on the 8th of May 2024. The upcoming earnings would play a vital role in the stock’s future performance. The stock currently trades at Rs.426 a piece on 19th April. The market cap stands at Rs.1,37,700 crores.

Conclusion: The company has well-settled prospects for future growth and has a well-developed infrastructure for future demand surge in electric vehicles. According to estimates India is expected to have 1 crore annual sales for EVs by 2030 and Tata Power with its infrastructure is surely going to be a beneficiary of that.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.