US International Development Finance Corp. (DFC) has approved up to $425 million to finance Tata Power’s new greenfield 4.3 GW solar cell and module manufacturing plant in the Indian state of Tamil Nadu.

Tata Power is one of India’s largest integrated power companies. Its step-down subsidiary, TP Solar, is setting up the 4.3 GW solar factory in Tirunelveli district. The facility is expected to start PV module production by the end of the year, with cell production to start in the first quarter of 2024.

“The Tirunelveli manufacturing plant will integrate advanced technologies enabling the production of high-wattage solar modules and cells with industry-leading efficiencies. Additionally, the facility will implement industry 4.0 standards for smart manufacturing,” said Tata Power. “The plant is expected to create over 2,000 employment opportunities directly or indirectly, with the majority of the employees being women from the local areas.”

Tata Power has committed to expanding its clean and green energy capacity from 38% to 70% by 2030. The company is actively focusing on renewable capacity expansion and transitioning into a consumer-oriented business.

Currently, Tata Power’s renewable portfolio stands at approx. 7.8 GW, with 4.1 GW operational and 3.6 GW under implementation. The company already has an operating solar cell and module manufacturing capacity of 500 MW per year.