Date: 2025-07-16Category: Not ApplicableState: Union GovernmentCountry: India
Cabinet approves enhanced delegation of power to NTPC Ltd for investing in NTPC Renewable Energy Ltd. and its other JVs/ subsidiaries to set up Renewable Energy Capacity
**Policy Summary: Enhanced Delegation of Power to NTPC Ltd. for Renewable Energy Investment**
On July 16, 2025, the Cabinet Committee on Economic Affairs, chaired by the Prime Minister, approved an enhancement of delegated powers to NTPC Limited, a Maharatna Central Public Sector Enterprise (CPSE). This enhancement pertains to investments in NTPC Green Energy Limited (NGEL), a subsidiary company, and subsequently, NGEL's investments in NTPC Renewable Energy Limited (NREL) and its other joint ventures and subsidiaries.
The approved investment limit has been increased from the previously prescribed limit of Rs. 7,500 crore to Rs. 20,000 crore. This increased delegation aims to accelerate the development of Renewable Energy (RE) capacity, contributing to the national target of achieving 60 GW of RE capacity by 2032.
This policy is expected to strengthen power infrastructure, ensure reliable, round-the-clock electricity access nationwide, and generate both direct and indirect employment opportunities at the local level during construction and operation & maintenance (O&M) phases. It is also intended to boost local suppliers, enterprises (including MSMEs), and entrepreneurship within the country, fostering socio-economic development.
This decision aligns with India's progress in energy transition, having achieved 50% of its installed electricity capacity from non-fossil fuel sources ahead of its Nationally Determined Contributions to the Paris Agreement target. The country is now aiming for 500 GW of non-fossil energy capacity by 2030 and net-zero emissions by 2070.
NTPC, as the leading power utility in the country, aims to add 60 GW of RE capacity by 2032 to contribute to these national goals. NGEL serves as the listed subsidiary of the NTPC Group for RE capacity addition through both organic and inorganic growth, with organic growth primarily channeled through its wholly-owned subsidiary, NREL. NGEL has also established partnerships with various State Governments and CPSUs for RE project development.
As of July 2025, NGEL possesses a portfolio of 32 GW of RE capacity, including 6 GW of operational capacity, 17 GW of contracted/awarded capacity, and a 9 GW pipeline.
Key Entities Referenced
Cabinet Committee on Economic Affairs: A committee of the Union Cabinet of India that deals with economic affairs.
NTPC Ltd: A Central Public Sector Enterprise and the leading Power Utility of India.
NTPC Renewable Energy Ltd: A subsidiary of NTPC Ltd focused on renewable energy projects.
Narendra Modi: The Prime Minister of India.
NTPC Green Energy Limited: A Subsidiary Company of NTPC making investment in NTPC Renewable Energy Limited
Paris Agreement: An international agreement on climate change.
MSMEs: Micro, Small and Medium Enterprises within India.
Delhi: The National Capital Territory of India
Cabinet Committee on Economic Affairs (CCEA)
Cabinet approves enhanced delegation of power to
NTPC Ltd for investing in NTPC Renewable Energy
Ltd. and its other JVs/ subsidiaries to set up
Renewable Energy Capacity
Posted On: 16 JUL 2025 2:46PM by PIB Delhi
The Cabinet Committee on Economic Affairs chaired by the Prime Minister Shri Narendra Modi, has granted
enhanced delegation of power to NTPC Limited from the extant guidelines of delegation of power to
Maharatna CPSEs for making investment in NTPC Green Energy Limited (NGEL), a Subsidiary Company
and subsequently, NGEL investing in NTPC Renewable Energy Limited (NREL) and its other JVs/
subsidiaries beyond earlier approved prescribed limit of Rs.7,500 crore upto an amount of Rs.20,000 crore for
Renewable Energy (RE) capacity addition to achieve 60 GW Renewable Energy Capacity by 2032.
The enhanced delegation given to NTPC and NGEL will facilitate accelerated development of renewable
projects in the country. This move will also play a vital role in strengthening power infrastructure and
ensuring investment in providing reliable, round-the-clock electricity access across the nation.
Renewable Energy projects will also generate direct and indirect employment opportunities to the local people
at construction stage as well as during O&M Stage. This shall provide boost to local suppliers, local
enterprises/ MSMEs and shall encourage the entrepreneurship opportunities within the country besides
promoting employment and socio-economic development of the country.
India has achieved a landmark in its energy transition journey by reaching 50% of its installed electricity
capacity from non-fossil fuel sources - five years ahead of the target set under its Nationally Determined
Contributions to the Paris Agreement. The country is aiming to reach 500 GW of non-fossil energy capacity
by 2030. As a Central Public Sector Enterprise and the leading Power Utility of the Country, NTPC, aims to
add 60 GW of Renewable Energy Capacity by 2032 which will help the Country in achieving the aforesaid
target and move towards larger aim of having ‘Net Zero’ emissions by 2070.
NGEL is the flag-bearer listed subsidiary of NTPC Group for renewable energy capacity addition through
organic and inorganic growth. The organic growth is proposed to be done primarily through NGEL’s wholly
owned subsidiary NREL. NGEL has also formed curated partnerships with various State Governments and
CPSUs for RE project development. NGEL has a portfolio of ~32 GW RE capacity including ~ 6 GW
Operational capacity, ~17 GW Contracted/ Awarded capacity and Pipeline of ~9 GW.
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MJPS/SKS
(Release ID: 2145144)