New Delhi, July 16, 2025 – In a significant policy move, the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi has approved enhanced financial autonomy for NTPC Limited to accelerate investments in renewable energy projects. This strategic decision enables NTPC Green Energy Limited (NGEL) to invest up to ₹20,000 crore, a sharp rise from the previous cap of Rs 7,500 crore.
The approval empowers NGEL to make further investments into NTPC Renewable Energy Limited (NREL) and its other joint ventures and subsidiaries. The decision aligns with India’s growing ambitions in the green energy sector and its commitment to reduce carbon emissions while ensuring round-the-clock power availability across the country.
🌞 Powering India’s Clean Energy Vision
NTPC aims to build 60 GW of renewable energy (RE) capacity by 2032, a key contribution toward India’s national goal of 500 GW of non-fossil energy by 2030, as pledged under the Panchamrit commitment at COP26.
With the enhanced investment threshold, NTPC and its subsidiaries are now equipped to execute large-scale solar, wind, hybrid, and battery energy storage projects in a more autonomous and time-sensitive manner.
“This is not just a financial approval but a strategic enabler for NTPC’s transition into a clean energy powerhouse,” said a senior government official.
🔍 Highlights of the Cabinet Decision:
- ✅ Increased investment limit from ₹7,500 Cr to Rs 20,000 Cr
- ✅ NTPC can now directly fund NREL and other JVs without further Cabinet approvals
- ✅ Supports NTPC’s goal of achieving 60 GW RE capacity by 2032
- ✅ Accelerates deployment of clean power across India
- ✅ Aligns with India’s net-zero carbon commitment by 2070
📊 NTPC’s Expanding Green Energy Portfolio
NTPC, India’s largest power utility, has taken significant strides in the renewable energy sector through its subsidiary NGEL, which is actively developing projects via organic and inorganic means.
As of now, NGEL’s renewable portfolio stands at 32 GW, comprising:
- 6 GW operational projects
- 17 GW approved or contracted projects
- 9 GW under pipeline or development
NGEL’s wholly owned subsidiary NREL serves as the key platform for executing these renewable initiatives. The firm is also collaborating with various state governments and public sector undertakings (PSUs) to implement joint RE ventures across India.
🧑🏭 Employment and Economic Development
Beyond climate benefits, these renewable energy projects will generate both direct and indirect employment opportunities during their construction and operational phases. The initiative will foster:
- Growth in local MSMEs and supply chains
- Enhanced socio-economic development in rural and semi-urban regions
- Significant demand for skilled and unskilled labor in the RE sector
🌍 Leading the Global Climate Agenda
India has already achieved a major milestone by securing over 50% of its installed power capacity from non-fossil fuel sources — five years ahead of its Paris Agreement targets. NTPC’s expanded RE push will serve as a backbone for sustaining this lead, while propelling India toward a net-zero emissions target by 2070.
The Cabinet’s approval to expand NTPC’s investment authority is a transformational step in India’s clean energy journey. It not only boosts the operational capability of India’s largest power producer but also reflects the government’s deep commitment to climate goals, energy security, and inclusive economic growth.
(Economy India)
