To offer integrated customer services, explore the e-mobility segment and other value-added services of mutual interest, Mahanagar Gas Limited (MGL), one of India’s leading gas distribution companies has signed a memorandum of understanding (MoU) with Tata Power.
According to a statement issued by the company, this is the fourth major partnership Tata has entered with any energy retailer to expand its foray in the e-mobility segment.
“This is yet another significant move by Tata Power to offer a wide range of services to the Indian energy consumers, particularly in customer management solutions, IT solutions, data analytics, geographical information system (GIS) based solution SCADA systems; common safeguard activities for underground assets, solar rooftop initiatives and e-mobility space which, we foresee as how India will move its people and goods in the future,” Praveer Sinha, CEO and Managing Director, Tata Power, said.
Through this agreement, both the companies will explore possibilities of co-operation. Among other things, their cooperation would also focus on solar rooftop initiatives and setting up of commercial-scale charging and battery swapping stations for electric vehicles, with the allied power management solutions.
Tata Power has been one of the frontrunners in the e-mobility, and solar rooftop business and its initiatives have gathered a good momentum in recent months.
Recently, Tata Power and Hindustan Petroleum Corporation Limited (HPCL), an Indian state-owned oil and natural gas company, have signed an MoU for setting up commercial-scale charging stations for electric vehicles (EV) at the HPCL retail outlets and other locations across India. Through the MoU, both companies have agreed to collaborate in planning, development, and operation of charging infrastructure for electric vehicles (e-cars, e-rickshaws, e-bikes, e-buses), at suitable locations across the country. Both companies also intend to additionally explore areas of opportunities and collaboration in related fields like renewable energy.
Then in January 2018, Tata Power set up additional EV charging stations in Mumbai.
Besides the EV charging infrastructure, Tata Power’s rooftop business has also scaled. According to Mercom’s newly released India Solar Market Leaderboard 2019 report, Tata Power has the largest cumulative installations in the solar rooftop segment.
In a surprise move, Tata Power recently announced that it would not build any new coal-fired power project in the future and majority of its power capacity expansion will happen through renewable energy. This development was noted by the Institute of Energy Economics and Financial Analysis (IEEFA) in its report ‘Tata Power: Renewables to Power Growth and was covered as reported by Mercom.
Tata Power had reported a consolidated profit after tax (PAT) of ₹2,050 million (~$28.9 million) in the third quarter of FY 2018-19. When compared to the consolidated PAT in Q3 2017-18, it is a decline of approximately 67 percent. In Q3 FY 2017-18, Tata Power’s PAT stood at ₹6,280 million (~$88.5 million). The decline can be attributed to lower profits from the company’s coal business as Tata Power’s renewable business during Q3 FY 2018-19 proved to be good, Mercom had earlier covered.