India’s transition to renewable energy is no longer about ambition alone—it’s now about execution. Two major players, Adani Green Energy and Tata Power, are leading the race, each with a distinct strategy. Adani Green is focused on rapid expansion, aiming to become the largest power generator in India entirely from renewables. Tata Power, on the other hand, is taking a more integrated approach, building a diversified utility that spans generation, transmission, distribution, and even EV charging.
Current Capacity and Portfolio
As of FY25, Adani Green’s installed capacity reached 14.2 GW, all renewable, marking a 30% year-on-year growth. Tata Power, nearly double in total capacity at 25.7 GW, derives only 44% of its energy from renewables, with a mix of thermal, hydro, solar, and wind assets across the country. While Adani Green emphasizes large-scale generation, Tata Power’s operations cover the full electricity chain, including rooftop solar and EV infrastructure.
Financial Health and Balance Sheets
Adani Green’s aggressive growth is debt-driven, with total borrowings of around Rs 80,000 crore, resulting in a debt-to-equity ratio near 6x. While the structure relies heavily on long-term power-purchase agreements, each project is ring-fenced, providing some insulation from risk. Tata Power’s finances appear steadier, with net debt of Rs 74,000 crore and a more manageable debt-to-equity ratio of 1.8x, backed by predictable regulated cash flows that can absorb further borrowing.
Revenues, Margins, and Valuation
In FY25, Adani Green reported revenue of Rs 11,212 crore, with an EBITDA of Rs 8,889 crore and a net profit of Rs 2,001 crore. Margins are high but capital-intensive, reflecting the company’s rapid scale strategy. Tata Power’s revenue was much larger at Rs 65,478 crore, though EBITDA margins are thinner at 19%, reflecting its regulated and EPC businesses. On the valuation front, Adani Green trades at a high EV/EBITDA multiple of 23.4x and a P/E near 91x, pricing in rapid growth and access to global capital, while Tata Power’s multiples are lower, signaling steadier, more predictable growth.
Expansion Plans
Adani Green is building the world’s largest hybrid renewable park at Khavda in Gujarat, planning 30 GW of solar and wind across 538 square kilometers, along with pumped-hydro and battery storage. The company is also venturing into corporate renewable supply, starting with Google’s data center in Maharashtra. Tata Power’s growth is more evenly spread, with the Tirunelveli integrated solar plant already operational and plans to expand clean capacity by 20 GW by 2030. Investments include modernizing grids, rooftop solar expansion, and EV-charging infrastructure across 700 cities.
The 2030 Vision
By 2030, Adani Green aims to be the world’s largest renewable generator, controlling around 10% of India’s total renewable capacity, with success hinging on careful debt management and flawless execution of its projects. Tata Power aspires to become India’s most diversified green-energy utility, with 80–90% of generation from clean sources and a doubled consumer base through smart-grid expansion.Adani Green is pursuing speed and scale, while Tata Power is building stability and integration. Both approaches are crucial for India’s renewable energy goals. For investors, the choice comes down to risk appetite: the high-speed, debt-fueled expansion of Adani Green, or the measured, diversified growth of Tata Power. In India’s clean-energy decade, speed may capture headlines, but stability wins credit cycles.
