The Union Cabinet has approved an enhanced delegation of power to NTPC Limited, allowing it to invest up to ₹20,000 crore in NTPC Green Energy Limited (NGEL), its flagship renewable energy subsidiary. NGEL, in turn, is authorised to invest in NTPC Renewable Energy Limited (NREL) and its joint ventures and subsidiaries, substantially increasing the financial ceiling from the earlier limit of ₹7,500 crore. This move is pivotal to NTPC’s ambition of adding 60 GW of renewable energy capacity by 2032.
The decision is a strategic departure from previous guidelines governing Maharatna Central Public Sector Enterprises (CPSEs) and marks a critical shift toward accelerated development of renewable energy infrastructure. It reflects the government’s commitment to enhancing round-the-clock electricity access through non-fossil fuel sources and is expected to play a transformative role in strengthening India’s power grid.
The renewable energy projects under this expanded mandate will catalyse socio-economic benefits across India. They are projected to generate direct and indirect employment at both construction and operation stages, energising local suppliers, MSMEs, and entrepreneurs. The initiative is also poised to stimulate regional development and deepen private-sector participation in India’s green economy.
India’s energy transition gains added momentum with this approval, especially as the nation has already met its target of achieving 50% installed electricity capacity from non-fossil fuel sources—five years ahead of schedule under its Paris Agreement commitments. The broader national goal is to reach 500 GW of non-fossil fuel-based capacity by 2030 and realise net-zero emissions by 2070.
NTPC, as India’s leading power utility, has aligned its strategic direction with this vision. NGEL, its listed subsidiary for renewable capacity expansion, will drive growth through both organic and inorganic routes. Organic expansion will be primarily channeled via its wholly owned subsidiary NREL, while curated partnerships with state governments and CPSEs will support collaborative development.
Currently, NGEL holds a portfolio of approximately 32 GW renewable capacity, which includes 6 GW operational assets, 17 GW contracted and awarded capacity, and a further 9 GW under active development. This robust pipeline positions NGEL as a cornerstone of India’s renewable mission.
The Cabinet’s approval marks a significant inflection point for India’s energy landscape, equipping NTPC and NGEL to spearhead a resilient, sustainable and inclusive green transition.
