NTPC receives 13 bids for minority stake sale in green unit
COAL & MINING

NTPC receives 13 bids for minority stake sale in green unit

NTPC has received 13 bids from investors including the Canada Pension Plan Investment Board (CPPIB), ArcelorMittal, Malaysia's Pentronas, and Brookfield to select a minority stake in its renewable arm, NTPC Green Energy Ltd (NGEL). NTPC intends to raise Rs. 2,000 crore equity through a private placement, followed by an initial public offering by the green energy arm.

According to a company official, India's NIIF and Abu Dhabi-listed TAQA are also interested in acquiring a stake.

“We have received good response for our EOI. We will now firm up our offer and call bids from these bidders in a month’s time,” the official said.

NTPC is also considering selling stakes in NTPC subsidiaries SAIL Power Company Ltd, North Eastern Electric Power Corp (Neepco), and NVVN, its power trading arm.

NTPC Chairman and Managing Director Gurdeep Singh stated that the company is in the process of identifying strategic investors for NGEL and expects to complete the process in the current fiscal year.

Green energy will be the driving force behind NTPC's non-fossil businesses. The company has pledged to add 60 GW of renewable energy capacity by 2032, for a total capacity of 130 GW. NTPC currently has a portfolio of 2,500 MW green assets and a pipeline of 4,500 MW, 1,500 MW of which is expected to be operational this fiscal year.

Another 5000 MW is getting ready to go out for bid.

The board of NTPC last month approved the transfer of 15 renewable energy assets to NTPC green energy, valued at Rs 1,365 crore as of March 2022, or 1% of NTPC's net worth. The board also disclosed the change of the name of the fully owned subsidiary NTPC Renewable Energy to NTPC Green Energy.

NTPC is also engaged in research into green hydrogen and energy storage. According to Singh, the company and Nuclear Power Corp. of India have started talking about creating a joint venture to build a 1,400 MW greenfield nuclear project in Madhya Pradesh.

The company has stated it won't establish any new coal-based projects, but it is thinking about expanding a few of the current pit head plants.

“Considering the changes happening across the globe, while giving utmost thrust to add renewable capacity, a need has been felt for adding some coal-based capacity as it will provide resilience to the sector for meeting the increasing demand,” he added. “In this direction, we have already finalised the tender for 2X660 MW capacities at Talcher (TTPS) as a replacement project.”

See also:
Bids invited by NTPC for solar projects in Cuba
NTPC to raise Rs 50 bn via stake sale in green arm


NTPC has received 13 bids from investors including the Canada Pension Plan Investment Board (CPPIB), ArcelorMittal, Malaysia's Pentronas, and Brookfield to select a minority stake in its renewable arm, NTPC Green Energy Ltd (NGEL). NTPC intends to raise Rs. 2,000 crore equity through a private placement, followed by an initial public offering by the green energy arm. According to a company official, India's NIIF and Abu Dhabi-listed TAQA are also interested in acquiring a stake. “We have received good response for our EOI. We will now firm up our offer and call bids from these bidders in a month’s time,” the official said. NTPC is also considering selling stakes in NTPC subsidiaries SAIL Power Company Ltd, North Eastern Electric Power Corp (Neepco), and NVVN, its power trading arm. NTPC Chairman and Managing Director Gurdeep Singh stated that the company is in the process of identifying strategic investors for NGEL and expects to complete the process in the current fiscal year. Green energy will be the driving force behind NTPC's non-fossil businesses. The company has pledged to add 60 GW of renewable energy capacity by 2032, for a total capacity of 130 GW. NTPC currently has a portfolio of 2,500 MW green assets and a pipeline of 4,500 MW, 1,500 MW of which is expected to be operational this fiscal year. Another 5000 MW is getting ready to go out for bid. The board of NTPC last month approved the transfer of 15 renewable energy assets to NTPC green energy, valued at Rs 1,365 crore as of March 2022, or 1% of NTPC's net worth. The board also disclosed the change of the name of the fully owned subsidiary NTPC Renewable Energy to NTPC Green Energy. NTPC is also engaged in research into green hydrogen and energy storage. According to Singh, the company and Nuclear Power Corp. of India have started talking about creating a joint venture to build a 1,400 MW greenfield nuclear project in Madhya Pradesh. The company has stated it won't establish any new coal-based projects, but it is thinking about expanding a few of the current pit head plants. “Considering the changes happening across the globe, while giving utmost thrust to add renewable capacity, a need has been felt for adding some coal-based capacity as it will provide resilience to the sector for meeting the increasing demand,” he added. “In this direction, we have already finalised the tender for 2X660 MW capacities at Talcher (TTPS) as a replacement project.” See also: Bids invited by NTPC for solar projects in CubaNTPC to raise Rs 50 bn via stake sale in green arm

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