NTPC Green Energy Ltd IPO

Company Overview:

NTPC Green Energy Ltd (NGEL), a wholly owned subsidiary of NTPC Ltd is the 

largest renewable energy public sector enterprise (excluding hydro energy) in 

term of operating capacity as of Sep’24 and power generation as of Mar’24. The 

company’s renewable energy portfolio includes both solar and wind power 

assets with presence across multiple locations in more than 6 states which helps 

in mitigating risk of location specific generation variability. As of Sep’24, NTPC 

Green’s operational capacity stood at 3,220 MW of solar projects and 100 MW 

of wind projects across 6 states with average Power Purchasing Agreement 

(PPA) period of 25 years. Further, it has 13,576 MW of contracted & awarded 

projects and capacity under pipeline of 9,175 MW as of Sep’24. 

Key Highlights:

1. Strong parentage: The company is a wholly owned subsidiary of NTPC Ltd, a 

‘Maharatna’ central public service enterprise, which contributes ~17% to India’s 

total installed capacity and ~24% to the total power generated in India as of 

Sep’24. NGEL benefits from the support, vision, resources and experience of the 

NTPC group which is currently looking to expand its non-fossil-based capacity to 

45-50% of its portfolio which will include 60 GW renewable energy capacity by 

CY32. The company believes it can use the brand recall and long-term 

experience of dealing with state DISCOMs of NTPC Ltd to grow its portfolio and 

business in India. 

2. Robust product portfolio with diversification across geographies and off-

takers: NGEL has a large portfolio of utility-scale solar and wind energy projects 

coupled with projects for PSUs and Indian corporates. As of Sep’24, the company 

had 17 off-takers across 41 solar and 1 wind projects. The total portfolio as of 

Sep’24, consists of 26,071 MW including 3,320 MW of operating projects; 13,576 

MW of contracted & awarded projects and 9,175 MW of capacity under pipeline. 

NGEL’s portfolio is spread out across Rajasthan, Gujarat, Tamil Nadu, Andhra 

Pradesh, Madhya Pradesh and Uttar Pradesh which helps in mitigating risk of 

location specific generation variability.

3. Experience in renewable energy project execution: The company along with 

the NTPC Group have a strong track record of developing, constructing and 

operating renewable power projects, driven by experienced in-house 

management and procurement teams. NGEL’s in-house team works with third-

party aggregators, developers and EPC contractors to manage the land 

acquisition process. As of Sep’24, the company owns ~8,900 acres of freehold 

land and ~45,700 acres of leasehold land. Further, the company aimsto leverage 

NTPC Group’s economies of scale to negotiate and reduce the cost of 

components, equipment and materials for its solar and wind projects from 

domestic and foreign original equipment manufacturers and suppliers.

4. Access to low cost of capital: The company’s focus on maintaining high-

capacity utilization, operational efficiencies, low operating costs along with the 

strong parentage and diversified portfolio helps it to maintain healthy coverage 

ratios. Further, leveraging NTPC group’s high credit rating and strong balance 

sheet provides access to low cost of capital.