Adani Power Secures 558 MW PPA from TNPDCL

Adani Power, India’s largest private power producer with an operational capacity of 18.15 GW, has announced that its subsidiary, Moxie Power Generation Ltd (MPGL), has received a Letter of Award (LoA) from Tamil Nadu Power Distribution Corporation Limited (TNPDCL).

The contract involves the supply of 558 MW (net) of power for a period of five years, with supply scheduled to commence from April 1, 2026.

MPGL operates a 1,200 MW (2x600 MW) thermal power plant in Tuticorin, Tamil Nadu. The company emerged as the lowest bidder in a competitive bidding process by quoting a tariff of ₹5.910 per unit, highlighting its cost competitiveness and operational efficiency.

Near-Complete PPA Tie-Up

With this agreement, both units of the Tuticorin plant are now backed by power supply agreements. Notably, more than 95% of Adani Power’s total operating capacity is secured under medium- to long-term contracts. This significantly enhances revenue visibility and reduces exposure to short-term fluctuations in merchant power markets.

The company has stated its intention to achieve nearly 100% power purchase agreement (PPA) tie-ups for all operational and under-commissioning plants in the coming years. Such long-term contracts provide stability in cash flows and strengthen financial predictability.

Benefits for Tamil Nadu

The 558 MW power supply is expected to support Tamil Nadu’s growing electricity demand by enhancing grid stability and ensuring reliable supply to households, businesses, and industries. Securing power at a competitive tariff of ₹5.910 per unit is likely to benefit consumers through affordable and dependable electricity over the contract period.

Adani Power Share Price Performance

On February 24, 2026, Adani Power share price (NSE: ADANIPOWER) opened at ₹143.50. At 11:32 AM, the share price of Adani Power was trading at ₹143.58, down by 0.33% on the NSE.

Also Read: Gautam Adani Reviews ₹40,000 Crore Power Projects in Jharkhand and Bihar!

Conclusion

The LoA from TNPDCL marks a strategic milestone for Adani Power, reinforcing its contracted capacity base and improving revenue certainty. With over 95% of capacity already tied to long-term PPAs, the company is well-positioned to mitigate market volatility while contributing to Tamil Nadu’s energy security.

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