Tata Power shares gain as it executes power purchase agreement with Gujarat Urja Vikas Nigam for Mundra plant

Shares of Tata Power Ltd. shares gained in early trade on Tuesday, March 24, as the company has executed the supplementary power purchase agreement (SPPA) for the Mundra Plant with Gujarat Urja Vikas Nigam.

The company said it will execute similar SPPAs with Maharashtra, Rajasthan, Punjab and Haryana.

As much as 50% of the power offtake from the Mundra plant is with Gujarat and the remaining is with other states.
Tata Power witnessed a loss worth ₹1,000 crore in the first nine months of the financial year 2026 from the Mundra plant shutdown.

Last week, Tata Power had signed the power purchase agreement with the Gujarat government for the Mundra plant.

In an interaction with CNBC-TV18, Tata Power’s MD and CEO Praveer Sinha had said that the rate of the PPA was on similar lines with Section 11 and that the commercial issues had been agreed upon.

He added that the agreement was also on similar terms of the Gujarat government’s agreement with Adani group.

Shares of Tata Power have given up some of their opening gains, currently trading 0.8% higher at 390.4. The stock is flat so far in 2026.

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