Tata Power Grants ₹11,481 Cr Contracts to Local Vendors

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Image Courtesy: Tata Power

Tata Power joint ventures with the Odisha government have made a significant economic impact in the state over the past three years. Since taking charge of Odisha’s power distribution operations, the state’s power distribution companies (discoms) placed orders worth a substantial ₹8,690 crore with local Micro, Small, and Medium Enterprises (MSMEs) and an additional ₹2,791 crore with non-MSME companies.

These contracts have been a vital part of the discoms’ strategy to enhance local participation and development. The contracts are spread across two major categories: materials and services, benefiting a wide network of local contractors and suppliers. The discoms involved—TP Central, TP Southern, TP Northern, and TP Western Odisha Distribution Limited—have entered into agreements with a total of 6,645 local vendors and suppliers, as confirmed by official sources.

This approach aligns well with both the company’s operational needs and the broader goals of economic growth within the state. In a statement, the company emphasized that these partnerships are the backbone of their daily operations and services. They underscored their commitment to fostering local talent by encouraging vendors to hire residents from nearby regions, thus promoting employment and local skill development.

The company also highlighted that these contracts are an integral part of their broader efforts to drive the state’s economic progress. Focusing on the service sector, the discoms awarded contracts to 4,347 vendors, totaling ₹7,560 crore. These contracts cover essential services such as meter reading, billing, network maintenance, and more. These services are crucial for the discoms’ smooth functioning and directly support the day-to-day electricity distribution needs of the state.

Additionally, they contribute to the local economy by engaging numerous vendors who play a vital role in keeping the services operational. On the materials side, the discoms awarded 2,298 contracts for the supply of essential equipment like distribution transformers, cables, poles, low-tension and high-tension hardware, laptops, and desktops. The total value of these contracts reached ₹3,921 crore.

These materials are indispensable for maintaining and upgrading the state’s power distribution infrastructure. The contracts awarded in this category ensure that the necessary components are in place to sustain efficient power distribution throughout Odisha. In addition to technical and infrastructural elements, the service contracts also encompass a broad range of activities, such as meter installation, billing, collection services, call center operations, and administrative functions like housekeeping and catering.

This comprehensive approach ensures that every facet of the discoms’ operations is covered and functioning efficiently. Tata Power’s collaboration with the Odisha government through its discoms is not just about fulfilling business needs; it is a key element in the state’s broader vision of economic development. By aligning with the Make in Odisha initiative, these contracts have had a transformative effect on the local business landscape, directly contributing to the economic growth of Odisha’s communities.

Tata Power, a part of the Tata Group, is one of India’s largest integrated power companies, operating across the entire power value chain—generation, transmission, and distribution. Established in 1915, the company focuses on sustainable energy solutions, including renewable power, and serves millions of customers. It is committed to innovation, operational excellence, and driving India’s energy transformation.