Tata Power Gains After Signing Commercial Agreements With DGPC for 1,125 MW Hydropower Project

New Delhi, 24 November (Udaipur Kiran): Tata Power Company edged higher on Monday after announcing the signing of commercial agreements with Druk Green Power Corporation (DGPC) for the 1,125 MW Dorjilung hydropower project in Bhutan. The stock was trading at Rs 387.55 on the BSE, up 0.16 percent from its previous close of Rs 386.95.

The scrip opened at Rs 390.95 and moved between Rs 391.40 and Rs 386.70 during early trade. A total of 82,132 shares were exchanged on the counter. With a face value of Re 1, the BSE group ‘A’ stock has recorded a 52-week high of Rs 447.70 on December 9, 2024, and a 52-week low of Rs 326.25 on February 17, 2025. Over the past week, the stock traded between Rs 394.05 and Rs 384.15. Tata Power’s current market capitalisation stands at Rs 1,24,154.92 crore.

Promoters hold 46.86 percent of the company, while institutional and non-institutional investors hold 26.85 percent and 26.28 percent respectively.

Under the new commercial agreements, Tata Power and DGPC will jointly implement the Dorjilung hydropower project through a Special Purpose Vehicle (SPV), with DGPC holding 60 percent equity and Tata Power 40 percent. The run-of-the-river project will include six units of 187.5 MW each and will be built on the Kurichhu River in Bhutan’s Mongar region. With a six-hour pondage designed for peak generation, the project marks a significant expansion of clean and reliable hydropower in the region.

Tata Power has committed approximately Rs 1,572 crore as equity investment, to be infused in phases as per the agreed structure. With a total project cost of Rs 13,100 crore, Dorjilung will be Bhutan’s second-largest hydropower project and the largest PPP hydro project ever undertaken in the country.

Upon completion, the SPV will become an associate company of Tata Power, reinforcing its strategic presence in the Himalayan renewable energy corridor. The project is expected to be commissioned by September 2031. Around 80 percent of the generated electricity will be supplied to India, boosting regional energy security and clean power availability. The project is also supported by the World Bank and represents a key milestone in cross-border clean-energy collaboration.

Tata Power Company remains India’s largest integrated power utility, leading advancements in technology, processes and sustainable energy platforms.

Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.

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