- Torrent Power partners with BP Singapore to secure a reliable LNG supply amid rising power demand.
- LNG will power Torrent’s gas plants and meet growing demand in residential, commercial, and CNG sectors.
- The deal aligns with India’s push for cleaner energy and diversifies Torrent’s fuel portfolio.
Torrent Power Ltd (TPL) has signed a long-term Purchase and Sale Agreement with BP Singapore Pte Ltd (BP), a division of bp, a global energy company, for the delivery of up to 0.41 million metric tonnes per annum (MMTPA) of liquefied natural gas (LNG) from 2027 to 2036.
TPL will strategically utilize the LNG to run its 2,730 MW combined cycle gas-based power plants (GBPPs) throughout India, assisting in fulfilling the rising electricity demand in the country and aiding the grid during times of peak consumption, the company stated
The agreement will additionally assist Torrent Gas Ltd (TGL), the group's city gas distribution (CGD) division, by addressing its increasing LNG needs. The fuel is intended to guarantee a dependable gas supply for residential, commercial, and industrial consumers, along with vehicles powered by compressed natural gas (CNG), the statement continued.
“Taking advantage of softness in LNG prices, TPL along with TGL further intends to explore medium- and long-term LNG procurement in response to the growing demand from its GBPPs and CGD networks, respectively, aiming to enhance its portfolio diversity and reliably to meet energy supply needs of customers,” the statement said.
The agreement arises during a government initiative to enhance electricity production from gas-powered facilities. Last month, the Centre instructed those plants to boost production in expectation of rising electricity demand. India’s maximum power requirement is expected to reach 270 GW in FY26, an increase from the previous record of 250 GW observed last year.
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As part of India’s broader energy transition, natural gas is being promoted in various sectors, such as cooking and transportation, as a cleaner alternative to crude oil. The ministry responsible for petroleum hopes to raise the share of natural gas in India’s energy mix to 15% by 2030, up from the current 6%.
TPL, which is a member of the Torrent Group, has an installed total generation capacity of 4,838 MWp, including 2,730 MW from gas, 1,746 MWp from renewables, and 362 MW from coal. The company is also developing an additional 3,154 MWp of renewable initiatives and 3,000 MW of pumped storage capacity.
This will bring TPL's overall proposed generation and storage capacity to 7,992 MWp and 3,000 MW, respectively.