Generation up by 8% at 4260 MUs as compared to 3935 MUs last year

Raises GDR of US$ 335 million in July 2009

Announced Inauguration of 1×120 MW – Power House 6 at Jamshedpur

Signed a MoU with Tata Steel Limited and Corus Staal B.V for green power plant in Netherlands

Inks Two O& M Services Contracts

Highlights-Q1 FY 10:

Sales volume rose by 2% at 4180 MUs against 4115 MUs in the corresponding period last year.

While Trombay Thermal Power Station generated 2778 MUs of power as compared 2669 MUs in the previous year. The Jojobera Thermal Power Station recorded a generation of 803 MUs during the quarter as compared to 784 MUs. The Belgaum Independent Power Plant (IPP) generated 107 MUs during the year as compared to 92 MUs.

The Company added 1615 customers taking its total customer base to 27620.

Commenting on the Company’s performance, Prasad R. Menon, Managing Director, The Tata Power Company Ltd., said, “We are pleased to announce good results for the quarter and the progress chartered for the expansion plans that we have embarked upon. As part of our efforts to set up green power plants, Tata Power made its maiden foray in low carbon generating power plant outside India by signing a MoU to construct a 525 MW power plant at Corus’ IJmuiden Works in Netherlands. We intend to continue our cost efficiency measures along with our reduction in carbon footprints which are reaping the desired benefits and reflect upon the performance of the company.”

During the quarter, Industrial Energy Limited (IEL), a joint venture between Tata Power (74%) and Tata Steel (26%), announced the inauguration of 1×120 MW – Power House 6 at Jamshedpur. Power House 6 was inaugurated by the Honorable Governor of Jharkhand, Shri. Syed Sibtey Razi. The production gas based 1X120 MW Power Project Power House # 6, built at a total cost of INR4.90 billion and commissioned in 34 months, will supply to Tata Steel thereby meeting the increasing demand for power for the company’s Jamshedpur works. The 1X120 MW Power Plant is a Green Power Plant and uses Blast Furnace Gas, Coke Oven Gas & LD Converter Gas from Tata Steel Limited.

The Company also made its maiden foray into generation outside India by signing of a Memorandum of Understanding (MoU) with Tata Steel Limited and Corus Staal B.V. for the construction of a 525 MW combined heat and power plant at Corus’ IJmuiden Works in Netherlands. Under this MoU, a Joint Venture Company will be set up to build, own and operate the power plant, utilizing production gases like blast furnace, coke oven and other gases produced in the steel mills and generate steam and power for the use of Corus steel plant.

During the quarter, the Company signed two O & M Services contracts with the OPG Group, Chennai to provide Operations and Maintenance Services for their 1×80 MW Coal based power plant located at Gummidipoondi near Chennai city and for their upcoming 2×150 MW coal based thermal power plant located at Bhadreswar, in the Kutch district of Gujarat.

Subsequent to the quarter, the Company raised US$ 335 Million through GDRs. Each GDR will represent 1 equity share, of a nominal value INR10 per equity share (the “Shares”) of the Company. The Company has issued 14,838,110 GDRs and each GDR has been priced at US$ 22.577 (INR48.27 is the reference exchange rate) as per relevant pricing guidelines for GDRs. The Company intends to use the net proceeds of the Offering to fund capital expenditures of its existing power plants, projects under implementation and other project plans of the Company (including projects undertaken through its subsidiaries) and any other purpose permitted by applicable laws and regulations from time to time.

GROWTH PLANS:

The progress on Company’s new projects is as follows:

4000 MW, Mundra Ultra Mega Power Project on Fast Track:

4000 MW Mundra Project implementation is progressing as per schedule with Engineering, Procurement and Construction activities in full swing. Overall project progress achieved is 26%.Ordering of all critical items/major packages has been completed.

1050 MW Maithon Joint Venture Project:

1050 MW Maithon Power Limited (MPL), a joint venture between the Company (74%) and Damodar Valley Corporation (DVC) (26%), is also progressing well and has achieved 54% completion. The first unit is scheduled to be in operation by October’10 and second unit by April’11.

Captive Power Projects for Tata Steel:

Industrial Energy Limited (IEL), a joint venture between Tata Power (74%) and Tata Steel (26%) is implementing the following projects:

120 MW Power House # 6 for Tata Steel Works, Jamshedpur:

The 120 MW power plant being constructed at Tata Steel works, Jamshedpur for use by Tata Steel was inaugurated in May 2009.

Unit 5 at Jojobera:

A 120 MW power plant is being constructed at the Company’s existing site at Jojobera. IEL has placed orders for major equipment. The project is expected to be commissioned in the third quarter of FY 10.