Tata Power has announced a comprehensive postal ballot notice for six material related party transactions (RPTs) totaling ₹47,854 crore for FY27, requiring shareholder approval under SEBI regulations. The company has scheduled remote e-voting from February 17, 2026 to March 18, 2026 to seek member consent for these significant business arrangements.

Major Transaction with Tata Projects Limited

The largest proposed transaction involves ₹27,984 crore with Tata Projects Limited (TPL), an associate company where Tata Power holds a 22.70% stake. This arrangement encompasses multiple components designed to leverage TPL's expertise in executing large infrastructure projects.

The primary focus involves EPC services for Flue Gas Desulphurisation projects at Tata Power's 4150 MW Mundra Thermal Power Generation Plant and 447 MW Jojobera Plant. Additionally, TPL will participate in the competitive bidding process for the 1,800 MW Shirawta Pumped Storage Project, including Civil and Structural Works, Hydro-Mechanical Works, and Electromechanical Works.

Strategic Alliance with Tata Steel Limited

The second major transaction involves ₹4,270 crore with Tata Steel Limited (TSL), a promoter group company where Tata Sons holds 31.76% shares. This comprehensive arrangement covers multiple business activities reflecting the ongoing commercial relationship between the two Tata Group entities.

Tata Power will continue selling power from its Jojobera and Haldia units to TSL, with tariffs for regulated units determined by the Jharkhand State Electricity Regulatory Commission. The company also plans to construct transmission infrastructure and provide operation and maintenance services for TSL projects.

Subsidiary Transactions and Renewable Energy Focus

The postal ballot includes four additional transactions involving Tata Power's subsidiaries, demonstrating the company's integrated approach to renewable energy and distribution operations.

Tata Power Renewable Energy Limited (TPREL) will engage in ₹7,000 crore worth of transactions with TP Solar Limited, primarily involving solar module procurement and raw material supply. TPREL will also conduct ₹4,000 crore in transactions with TP Vardhaman Surya Limited, including domestic lending and project management services for a 966 MW Solar and Wind hybrid plant.

Odisha Distribution Operations

Two separate ₹4,600 crore transactions involve Tata Power's Odisha distribution subsidiaries with GRIDCO Limited. TP Central Odisha Distribution Limited and TP Western Odisha Distribution Limited will continue their power purchase arrangements with GRIDCO, as mandated by their respective vesting orders from the Odisha Electricity Regulatory Commission.

Voting Process and Regulatory Compliance

The remote e-voting will be conducted exclusively through NSDL's platform, with no physical postal ballot forms being distributed. Members whose names appear in the Register of Members as of February 6, 2026 (cut-off date) are eligible to participate in the voting process.

All proposed transactions have received approval from the Audit Committee's Independent Directors and have been reviewed by external consulting firms for arm's length pricing compliance. The transactions are designed to be conducted in the ordinary course of business while leveraging Tata Group synergies and ensuring operational efficiency.

The results will be announced within two working days after the voting period concludes, with the Scrutinizer's report determining the validity of votes cast. If approved by the requisite majority, the resolutions will be deemed passed on March 18, 2026.

Tata Power has announced strategic financial and operational targets that outline the company's approach to managing growth while maintaining financial discipline. The power utility has set specific debt management goals alongside ambitious renewable energy expansion plans.

Financial Management Strategy

The company has established clear financial targets to guide its capital structure management. Tata Power expects to maintain disciplined financial ratios despite ongoing major capital expenditures across its business segments.

These targets reflect the company's commitment to maintaining a balanced approach between growth investments and financial stability.

Renewable Energy Expansion Plans

Tata Power has outlined its renewable energy strategy with specific capacity and technology goals. The company's approach emphasizes both diversification and vertical integration in its clean energy portfolio.

The company's decision to use its own manufactured cells for all renewable projects represents a significant commitment to vertical integration, potentially providing better cost control and supply chain security.

Growth Outlook

Despite the substantial capital expenditures required for its expansion plans, Tata Power anticipates steady growth. The company's strategic approach balances aggressive renewable energy expansion with prudent financial management, positioning it for sustainable long-term growth in India's evolving power sector.