Tata Power is India’s largest private power utility and has an installed generation capacity of 8613 MW. It generates 7,415 MW through thermal and 1,106 MW through clean sources such as hydro, solar, and wind. Tata Power CEO and managing director Anil Sardana speaks to Samiran Saha on fuel shortage, clean energy projects, and the private sector’s role in the government’s plan of 24x7 power for all.
Expanding clean-power generation is a top priority with this government. How will you contribute to that?
Tata Power intends to have a 20-25 per cent contribution from ‘clean power sources’ at all times. The company is exploring multiple options, both greenfield and acquisitions, to be able to capture the market for both solar- and wind-based generation. The company is also in the process of acquiring suitable land parcels in Maharashtra, Rajasthan, Gujarat, Andhra Pradesh and Karnataka to develop solar and wind projects.
How can the private sector contribute to government’s goal of 24x7 power for all?
The private sector has been contributing heavily towards the growth of this sector. The government can look at an efficient public-private partnership for the transmission and distribution business.
How are you harnessing solar energy?
Today, we have 54 MW of solar installed capacity. We have acquired around 200 acres in Rajasthan for future solar-based projects. The company is exploring multiple options, both greenfield and acquisitions. An in-house floating variant using crystalline single axis tracked PV is under development.
What steps can the government take to ease the problem of fuel linkages?
Rationalisation of existing coal linkages to optimise distances for rail movement has been one issue we have been talking about. The government has also laid emphasis on enhancing coal linkages across the country.The government needs to take measures to develop a conducive and enabling policy framework by introducing an independent coal regulator to oversee mine planning and development. There must be adherence to investment plans and compliance with production schedule and, finally, a road map for commercial mining.
How does the present power scenario look?
Fuel shortage has resulted in increasing non-utilisation of assets that are already built and distracts new capacity additions. Sudden spike in price and change in law have made imported coal-based power projects economically unviable. The shortage of natural gas has stranded gas-based power projects with a capacity of around 18,903.5 MW. There is a need to evolve a robust energy security policy so that guidance is given to all State Regulatory Commissions to plan bulk procurement in line with the basket of fuels that meet Indian’s energy security needs. Stranded capacities, stranded equity and debt need to be made productive to aid projects.