NTPC Renewable Energy IPO to hit markets in 2022-2023

NEW DELHI: The State intends to register its branch NTPC Renewable Energy Ltd in 2022-2023, in order to raise funds to reach its ambitious goal of 60 GW of installed renewable energy capacity by 2032, this which involves a total investment of Rs 2.5 lakh crore, a source said.

The source, however, did not disclose the amount of money to be raised through NTPC Renewable Energy’s Initial Public Offering (IPO), but said the company’s equity component would be around Rs 50. 000 crore and the rest of the requirement would be met through long term loans, bonds, bonds and the like.

Last year, in October, state-owned NTPC incorporated a wholly-owned subsidiary for its renewable energy business on behalf of NTPC Renewable Energy Ltd.

Earlier this week, NTPC indicated its intention to list NTPC Renewable Energy Ltd.

Attending the BloombergNEF Virtual Summit (BNEF), NTPC Chairman and CEO Gurdeep Singh said, “We shouldn’t be focusing on just one way to raise money. We want to make the fundraiser public soon.

Singh was talking about raising funds for NTPC’s ambitious renewable energy (RE) goal and pointed out that the company would add 7-8 GW RE each year, which would not be a difficult task for them.

The source said that initially, NTPC Renewable Energy Ltd would start by adding around 4,000 MW of clean energy capacity in one year, which would grow from 7,000 MW to 8,000 MW eventually over a 10-year period until 2032. .

Singh had exuded confidence that NTPC would exceed its target of 60 GW of RE by 2032.

The source further stated that since NTPC is not going to add entirely new fossil-fuel-based power generation capacity in the future, the funding of 2.5 million lakh rupees spread over the 10 coming years for a clean energy capacity of 60 GW can be achieved easily.

According to the 2021 Union budget, NTPC’s annual capital expenditure is budgeted at Rs 23,736 crore for 2021-2022, which is higher than its revised capital expenditure estimate of Rs 21,000 crore in 2020-2021. Its actual investment in 2019-2020 was Rs 36,618.4 crore.

Currently, the NTPC Group has a renewable energy capacity of approximately 1,365 MW. It plans to have 132 GW of total power generation capacity by 2032, including 60 GW of clean energy.

NTPC became the first Indian energy company to declare its energy pact goals under the United Nations High Level Energy Dialogue (HLDE). NTPC plans to install 60 GW of renewable energy capacity by 2032.

The country’s largest electricity producer is also targeting a 10% reduction in net energy intensity by 2032.


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