State-run power producer NTPC has doubled its renewable energy target for 2032, and now wants to have 60,000 mega-watt (MW) of wind and solar capacity by the end of the target period. Currently, the installed renewable energy capacity of the company is 1,350 MW and by FY24, it intends to add about another 13,000 MW of green power generation base, NTPC’s management informed analysts and investors in a recent conference call.
The company, by name and predominantly a thermal player, had in October, 2020, incorporated NTPC Renewable Energy, a wholly-owned subsidiary to focus on its green energy business. When the subsidiary was formed, the 2032 renewable capacity target was 32,000 MW. It could also look at plans for potential spin-offs or the monetisation of its renewable energy subsidiary, the management said.
As much as 2,884 MW of NTPC’s renewable energy capacity is currently under implementation and another 3,290 MW under various stages of tendering. The company will participate in 5,000 MW of upcoming renewable energy auctions. NTPC enjoys low cost of funding which helps it in quoting low competitive tariffs in the auctions. With rising environmental concerns and falling tariffs of renewable energy, the largest thermal power producer in the country has decided to diversify its generation portfolio.
NTPC is in talks with the state governments of Gujarat, Rajasthan, Maharashtra and Andhra Pradesh for allocation of land parcels for 17,000 MW of renewable energy projects under the Ultra Mega Renewable Energy Power Parks (UMREPP) scheme. There is also an MoU between DVC and NTPC RE for setting up of floating solar plant and projects in Jharkhand and West Bengal under UMREPP and CPSU scheme.
Currently, the total installed capacity of the power behemoth stands at 65,825 MW. It reported a 36.2% year-on-year increase in its standalone net profit to Rs 13,769.5 crore in the fiscal ended March, which is the highest ever annual profit recorded by the company.