In a bid to boost its global ambitions, Tata Power Renewable Energy, is looking to expand in Africa to tap the continent’s potential.
“We are scanning different countries and looking at potential solar, geothermal and hydro projects at various overseas markets. However, many parts in Africa, especially South Africa have lot of potential options,” said Rahul Shah, chief of business development and renewables, Tata Power.
Tata Power, the utility business of India’s largest business group, had carved out a separate renewable energy arm, Tata Power Renewable Energy, to build a robust renewables portfolio.
Last year, Tata Power, through its subsidiary Khopoli Investments, and South Africa’s Exxaro Resources had formed a 50:50 joint venture to focus on developing electricity projects in Africa.
“Africa, being a new growth economy has a greater need for power and hence, our risk of doing business is less,” Shah said.
The company has also entered in projects commissioned at Indonesia and Bhutan. “The objective is to enter countries which have an evolved policy structure,” Shah said.
Shah did not divulge the details on investments overseas.
Moreover, for Indian market, the company plans to invest up to R4,500 crore in the next three years under the renewable portfolio, he said. “Company would add 30-50 MW of solar power, 150-200 MW of wind power to its renewable portfolio this year. A similar expansion is projected for the next few years,” he said.