 "US DFC to invest $435 million in Tata Power's green energy subsidiary")
The US International Development Finance Corporation (DFC) Board of Directors have approved $425 million to finance TP Solar Limited, a subsidiary of Tata Power Renewable Limited (TPREL), Tata Power said in a press release. The approval is for an upcoming 4.3 GW solar cell greenfield project and module manufacturing plant at Tirunelveli district in Tamil Nadu, India.
The plant's first module production is expected to begin by the year end and the first cell production is expected in the first quarter of financial year 2023-24 (FY24).
The approval is yet to get a US congressional notification. The investment will help India's ambitious renewable energy plans and the manufacturing capability to cater to domestic needs. DFC's financial support of Tata Power will help secure the supply chain in the country's journey to take the lead in the clean energy industry, Tata Power said.
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Speaking on the subject, CEO and MD of Tata Power, Praveen Sinha said, "We appreciate DFC's assistance for our solar cell and module production facility in Tamil Nadu. It shows the trust and belief DFC has in Tata Power's ability to set up a state-of-the-art manufacturing supply line in the country. This will go a long way in supporting the renewable and clean energy transition in the country."
Tata Power is working towards expanding its clean and green energy portfolio and aims to increase it from 38 to 70 per cent by 2030, the release said.
What is the US International Development Finance Corporation (DFC)?
The US International Development Finance Corporation (DFC) works in partnership with private sector players to finance solutions for the world. The corporation invests in energy, healthcare, infrastructure, agriculture, and small businesses, among other sectors.
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