According to media reports, the approval pertains to a supplementary PPA, with similar agreements expected to be finalised with states including Maharashtra, Rajasthan, Punjab and Haryana. The Gujarat pact is likely to serve as a template for these future agreements.
The development comes after Tata Power incurred a loss of around Rs 1,000 crore in the first nine months of FY26 due to the shutdown of the Mundra plant.
Reports suggest that the PPA tariff structure is aligned with provisions under Section 11, with key commercial terms already agreed upon. Detailed terms of the agreement are expected to be shared in due course.
Tata Power Company is a part of the Tata Group and primarily engaged in the generation, transmission, and distribution of electricity. It aims to produce electricity entirely through renewable sources.
The company’s consolidated net profit fell 25.1% to Rs 771.98 crore on 9.37% fall in revenue from operations to Rs 13,948.41 crore in Q3 FY26 over Q3 FY25