Tata Power board approved Rs 11,871 crore for a 1,800 MW pumped storage project at Shirwata in Maharashtra, it said on 11 November.

Tata Power expects to finish within 51 months, a little over four years.

It will fund the project with 75% borrowed money and 25% equity, so about Rs 8,900 crore will come from loans. A pumped storage plant works like a giant water battery.

It uses spare electricity to push water up to a high reservoir, then lets that water rush down through turbines when power is needed.

That helps solar and wind energy reach homes and factories after sunset or on calm days.

The company says the project will back its plans to supply renewable power round the clock and help heavy industries cut emissions. The approval came with the July to September results.

Tata Power made Rs 1,366.11 crore in profit for its shareholders, up 48.58% from Rs 919.44 crore a year earlier.

Adding the share that belongs to minority investors in its subsidiaries, total profit hit Rs 1,652 crore, up 33%.

Chief executive Praveer Sinha called it the company’s highest-ever quarterly profit. Revenue from operations rose 26.32% to Rs 19,635.94 crore.

The quarter also carried a one-time gain of Rs 317.36 crore, which came after Tata Power stopped treating Tata Projects as an associate company.

Tata Power put close to Rs 10,000 crore into new projects in the first half of the year.

The money went into renewable energy, power lines, pumped storage and digital power distribution. Pumped storage is already part of its plans.

Tata Power disclosed in July a 324 MW award from the Solar Energy Corporation of India for its 1,000 MW Bhivpuri project, also in Maharashtra.

Its renewable energy arm commissioned 419 MW of projects in the September quarter, against 182 MW a year earlier, an update on 12 October showed.

Compared with the June quarter, shareholders’ profit rose 16.2% from Rs 1,175.93 crore. Tata Power puts its existing generation capacity at 16.9 GW.

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