Tata Power CEO calls clean energy a ‘great opportunity’ for India; hopes for final discom bailout

India’s energy transition is still in its early stages but presents “a great opportunity” for the nation to leapfrog older energy systems, Tata Power MD & CEO Praveer Sinha said at the 12th SBI Banking

and Economics Conclave in Mumbai.

He noted that India’s shift towards clean energy began only about 10 years ago and has accelerated sharply in recent years. “We have been very fortunate in the kind of capacity additions we have seen. Earlier, we used to add five to six gigawatts a year; now we are adding nearly 30 gigawatts,” Sinha said.

Pointing to India’s natural advantage, he added, “Most parts of the country have more than 300 days of sunshine, and good wind speed, which makes the transition to clean energy much easier than in many countries that are struggling with their built capacity.”

Sinha emphasised that clean energy is “not only good for the environment but also good for business” given lower production costs, though he acknowledged that storage technologies such as batteries and pump storage would be crucial to manage intermittent supply.

Speaking on the financial health of distribution companies, Sinha said the sector may be close to another restructuring. “Hopefully, this should be the last bailout for power discoms,” he said, adding that any relief should come with preconditions such as public-private partnerships or privatisation.

Also Read: Government to consider privatisation, stake sale, market listing of state discoms to revive ailing sector

He observed that discoms’ total outstanding dues stand at around ₹7 lakh crore and continue to rise by ₹60,000–₹70,000 crore each year. “This cannot continue for very long… people cannot put it under the carpet. I don't think there is any other option with the state governments, or the state discoms,” Sinha said, stressing the need for transformation in customer service and operational efficiency.

Calling the coming years a “renaissance” for the power sector, Sinha said the ecosystem is set for a major transformation, with decentralised power generation and cleaner technologies benefitting both consumers and industry.