Torrent Power Ltd. (TPL) announced on Monday that it has signed a long-term sales and purchase agreement with BP Singapore Pte. Ltd., a subsidiary of the UK-based integrated energy major BP Plc. Under the agreement, BP Singapore will supply up to 0.41 million metric tonnes per annum (MMTPA) of liquefied natural gas (LNG) to Torrent Power from 2027 to 2036.

The LNG procured through this agreement will play a vital role in supporting Torrent Power’s existing operations and future growth. A major portion of the imported LNG will be utilized to operate the company’s 2,730-megawatt combined cycle gas-based power plants (GBPPs) located in India. These plants are expected to help meet the country's increasing electricity demand, particularly during peak consumption periods, while also supporting grid stability in the face of fluctuating renewable energy generation.

The deal is also aimed at supporting the growing fuel requirements of Torrent Group’s city gas distribution (CGD) business, Torrent Gas Ltd. (TGL). The gas supplied through this agreement will ensure reliable delivery to a wide range of consumers, including households, commercial establishments, industrial users, and compressed natural gas (CNG) vehicles. With the demand for clean and efficient energy alternatives on the rise, this agreement is set to significantly strengthen the group’s ability to meet consumer expectations and regulatory requirements.

Torrent Power stated that the agreement is strategically timed to capitalize on favorable trends in global LNG pricing. The company noted that, in collaboration with Torrent Gas, it will continue to explore additional medium- and long-term LNG procurement opportunities. This approach is intended to meet the growing energy demands of both its GBPPs and CGD networks. The initiative also aligns with the company’s long-term objective to diversify its energy portfolio while ensuring supply reliability.

“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 company said in an official statement.

The agreement with BP Singapore underscores Torrent Power’s commitment to strengthening its natural gas infrastructure and highlights its proactive role in India’s energy transition. As the country seeks to reduce its carbon footprint and improve energy security, partnerships such as this are expected to play a critical role in ensuring cleaner, more stable, and reliable energy sources.

Torrent Power is one of India's leading integrated power utility companies with a strong presence across generation, transmission, and distribution. This agreement further positions the company to support the nation’s evolving energy landscape in a sustainable and cost-effective manner.