Divestment plan of 15,000 Cr withdrawn by NTPC

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New Delhi: State-run power giant NTPC has drawn a Rs 15,000 crore divestment plan which includes a listing of its arms NTPC Renewable energy, North Eastern Electric Power Corporation, and NTPC Vidyut Vyapar Nigam, a source said.

The source stated that besides listing of the three firms, the plan to meet its divestment target of Rs1,5000 crore also includes the sale of its stake in NTPC-SAIL Power Company Ltd (NSPCL), which is expected this fiscal year.

The NSPCL is a joint venture company of NTPC and SAIL(50:50 equity)was incorporated on February 8, 1999. It was formed to own and operate captive power plants for SAIL’s steel manufacturing facilities located at Durgapur, Rourkela, and Bhilai.

According to the source, the Rs 15,000 crore divestment plan is as per agreed targets of performance set by the company with the Ministry of Power which includes a listing of NTPC Renewable Energy Ltd(NTPCREL), North Eastern Electric Power Corporation Ltd(NEEPCO), and NTPC Vidyut Vyapar Nigam Ltd(NVVNL)by March 2024.

The source said that the listing of NTPCREL is expected by October next year. NTPCREL, a 100 percent subsidiary of NTPC Ltd, currently has a renewable project portfolio of 3,450 MW of which 820 MW projects are under construction and 2,630 MW projects have been won for which PPAs(power purchase agreements)are pending to be executed.

NTPC had incorporated NTPCREL with the Registrar of Companies, NCT of Delhi & Haryana on October 7, 2020, to undertake renewable energy business.

The listing of NTPCREL assumes significance in view of the ambitious plan of the company to have 60 GW of renewable energy capacity by 2032. The RE installed capacity of the firm would be 45 percent of the 130 GW envisaged by 2032.

Earlier, the company had planned to have a minimum of 32 gigawatts (GW)capacity through renewable energy resources constituting nearly 25 percent of its overall power generation capacity by 2032.