Tata Power Renewable Energy (TPREL) on Tuesday said that it has entered into a Power Purchase Agreement (PPA) to develop a 12MWp on-site solar project at Tata Motors’ Pune commercial vehicle manufacturing facility.

A significant step towards attaining green manufacturing, the installation is collectively expected to generate 17.5 million units (MU) of electricity every year, which will meet nearly 17.2 per cent of the annualised requirement, potentially mitigating over 12,400 tonnes per kWh of carbon emission each year, TPREL, a Tata Power subsidiary, said.

The solar project is to be commissioned within six months after the PPA gets signed and will be a significant contributor to Tata Motors’ long-term ambitions, it added.

The PPA will include rooftop installations. This 12MWp adds to existing 8.73 MWp summing to 20.73 MWp for Tata Motors across CVBU (Commercial vehicle) Pune. Over the next few years, the company plans to expand the solar capacity of its Pune plant to meet the growing demand for renewable energy, TPREL said.

TPREL and Tata Motors have previously collaborated to develop a 16 MWp solar power project at Pantnagar in Uttarakhand, which is slated to be the largest in terms of capacity in the state.