In its 25th year, Tata Power Solar looks for break-even

Tata Power Solar, India’s oldest solar company, has completed 25 years of existence, the company announced today. The company, formerly known as Tata BP Solar, is a wholly-owned subsidiary of Tata Power Ltd, a part of the Tata group.

In a statement, the company has said that in its quarter century of existence it has “touched the lives of over 30 million people and reduced carbon footprint by more than 6.2 million tonnes.”

Tata Power Solar manufactures solar cells and modules (modules are made with cells), as well as a huge range of solar-power based products such as water heaters and lamps. The company’s two plants in Bengaluru can produce 180 MW of cells and 200 MW of modules. Its Chief Executive Officer, Ajay Goel, recently told Business Line that the company would invest in upgrading its manufacturing lines as the market picks up.

In addition to manufacturing, it also builds solar power plants for others.

In June 2012, after the Tatas bought over BP (British Petroleum) 51 per cent stake in the joint venture, Tata BP Solar became Tata Power Solar.

Still loss making

In 2013-14, Tata Power Solar achieved a turnover of Rs 1,103 crore and made a net loss of Rs 126.77 crore, compared with a turnover Rs 595 crore and a net loss of Rs 82.72 crore in the previous financial year respectively, but the dip in the net loss was mainly on account of an exceptional gain (reversal of provisions no longer needed) and deferred tax assets in 2012-13, which were not available last year. The company’s performance improved in 2013-14—it turned in an operating profit of Rs 16.33 crore, compared with an operating loss of Rs 42 crore in the previous year.

Ajay Goel recently said that he expects the company’s fortunes to be on the upswing in tandem with the mood in the solar manufacturing industry, which was swung from despondency last year to making plans for investments now.

COMMENT NOW