In a landmark move that signals India’s accelerating transition toward renewable energy, Tata Power Renewable Energy Ltd (TPREL) has entered into a significant partnership with the Andhra Pradesh government. The memorandum of understanding (MoU) signed on March 7, 2025, outlines an ambitious plan to develop up to 7 gigawatts of renewable energy projects across the state, with an estimated investment of ₹49,000 crore.
This strategic collaboration aligns perfectly with Andhra Pradesh’s Integrated Clean Energy (ICE) Policy, which aims to establish the state as a renewable energy powerhouse with over 160 GW of clean energy capacity. The investment by Tata Power’s renewable arm represents a substantial contribution toward this goal, comprising diverse renewable technologies including solar, wind, and hybrid projects, potentially incorporating storage solutions.
The partnership extends beyond just energy production. By channeling such massive investment into the state, the initiative promises to catalyze local economic growth through job creation, skill development, and improved livelihoods. Rural communities often hosting renewable installations will particularly benefit from this economic stimulus, creating a more inclusive growth model.
TPREL’s CEO and Managing Director, Deepesh Nanda, emphasized the company’s commitment to leveraging cutting-edge technology and industry expertise to accelerate large-scale renewable adoption. “We are delighted to partner with the Government of Andhra Pradesh in advancing the state’s clean energy journey. By leveraging our expertise and cutting-edge technology, this partnership will drive large-scale renewable adoption,and contribute to India’s sustainability goals. Developing upto 7 GW of clean energy projects will further strengthen Andhra Pradesh’s position as a renewable energy hub and accelerate its transition towards a low-carbon economy.”
Hon’ble Minister for Information Technology, Electronics & Communications, and Human Resources Development of Andhra Pradesh, Shri Nara Lokesh, said, “We are pleased to welcome Tata Power Renewable Energy Limited in advancing Andhra Pradesh’s renewable energy landscape. This collaboration marks a deepening of the long-standing relationship between the state and the Tata group. By fostering investments and innovation, we aim to accelerate clean energy deployment while ensuring long-term economic and environmental benefits for the state. We expect our landmark clean energy policy to generate investments of ₹10 lakh crore and 7.5 lakh jobs for the people of AP.”
The timing of this announcement is particularly significant as India works to meet its ambitious climate targets while addressing growing energy demands. The project’s scale demonstrates the private sector’s growing confidence in renewable energy’s economic viability and future potential.
Financial markets have responded positively to the announcement, with Tata Power Company Ltd shares gaining 6% on March 10, reflecting investor optimism about the company’s strategic direction and growth prospects in the renewable sector.
The 7 GW capacity planned under this MoU will substantially increase India’s renewable energy portfolio, contributing meaningfully to national emission reduction targets. It also represents a critical step in reducing dependency on fossil fuels, particularly coal, which still dominates India’s energy mix.
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As implementation begins, the project will likely face challenges related to land acquisition, grid integration, and regulatory frameworks. However, the partnership between a leading industry player and a supportive state government creates a strong foundation for overcoming these hurdles.
This investment by TPREL exemplifies how public-private partnerships can accelerate India’s green transition while delivering economic benefits, making it a model for similar initiatives across the country.
