The Economic Times couldn’t independently verify the report. Tata Power hasn’t informed the exchanges about this development either.
The imported coal-fired plant has not operated for the past six months after the government last year withdrew the emergency clause that compensates companies for generating power using expensive imported coal, Reuters added.
The deal comes as a relief to India, which is aiming to maximise power output from its coal plants amid an escalating Middle East conflict that is expected to trigger a gas shortage during the summer months.
The agreement is subject to approval from the federal power regulator and will take effect retrospectively from April 2025.
While the document did not disclose the exact pricing of the power supply, it noted that Gujarat has mandated that tariffs must not exceed those paid by other states, the report said.
Tata Power share price performance
Shares of Tata Power Company Limited have gained 8% over the past one month. However, the stock has remained largely range-bound over a longer horizon, rising just 3% in the last six months. On a year-to-date basis, the Tata Power share is up 7%, while it has delivered a 10% return over the past year.
Tata Power Q3 snapshot
The company’s profit after tax (PAT) rose 1% to Rs 1,194 crore, while nine-month PAT climbed to Rs 3,702 crore, up 7% year-on-year.
Revenue for Q3 FY26 stood at Rs 14,485 crore, down 4% year-on-year, compared with Rs 15,118 crore reported in the same period last year, Tata Power said in a press release. Meanwhile, nine-month revenue came in at Rs 47,719 crore, up 1% YoY.
EBITDA for the quarter grew to Rs 3,913 crore, up 12% from Rs 3,481 crore posted in the corresponding quarter of the previous financial year.
During the quarter, Tata Power executed around 1.3 GW of renewable projects, taking cumulative renewable EPC execution past the 10 GW milestone. The company’s total installed capacity now stands at 16.3 GW, underlining its expanding presence in clean energy infrastructure.
