Tata Power Renewable Energy Limited (TPREL) and Sanyo Special Steel Manufacturing India Private Limited (SSMI) have teamed up to build a 28.12-megawatt green energy plant in Maharashtra. TPREL, a Tata Power subsidiary, announced on August 31 that it had signed the Power Delivery Agreement (PDA) with SSMI through its Special Purpose Vehicle (SPV) TP Alpha Limited.

"TPREL partners with SSMI to build a 28.125 MW AC (39.375 MWp) captive solar plant in Aachegaon, district Solapur, Maharashtra," according to the statement. The plant is expected to generate 61.875 million inits (MUs) of electricity per year, which will meet the energy needs of SSMI's steel manufacturing unit.

It will also help SSMI reduce its carbon footprint by 42,534 tonnes per year. According to the agreement, the project will be completed by March 2024. This project aligns with SSMI's long-term climate change strategy by reducing reliance on fossil fuel-based energy, lowering the carbon footprint, and manufacturing green steel.

"These initiatives yield benefits such as cost reduction, lower emissions, enhanced energy security, and alignment with sustainability targets," said Ashish Khanna, CEO of Tata Power Renewable Energy Limited. The government's prioritization of captive power projects, motivated by economic and environmental benefits, emphasizes their importance for a variety of industries."