IPO-bound NTPC Green Energy (NGEL) is planning to invest Rs 1 lakh crore by FY27 for capacity addition and new ventures in segments such as green hydrogen and storage projects.
The company, which has an operational capacity of 3.3 gigawatt (GW), is looking to double its capacity by FY25 and take it to 19 GW by FY27, chairman and managing director Gurdeep Singh said on Wednesday, adding that 11 GW is under construction.
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The company plans to have a capacity of 60 GW by 2030, and its solar and wind ratio will be 90:10, he said.
Renewable energy producers need to spend Rs 5 crore per MW of solar power and Rs 8 crore per MW of wind power, he said. “Our leverage is 1:4, so we need Rs 20,000 crore of equity and the rest will come from debt to complete our projects,” Singh added.
About Rs 10,000 crore will come from the IPO, he said, adding that Rs 7,500 crore of the proceeds will go towards repayment of debt.
NGEL’s IPO will open for subscription on November 19 with a price band of Rs 102-108 per share. It will close on November 22. NTPC Green has joint ventures with ONGC Green and Indian Oil, among others.
“We have tie-ups with public sector companies and state-owned entities which will help us in capacity additions,” Singh said.
The company is also setting up a hub near Visakhapatnam on 1,200 acres of leased land, where it will produce green hydrogen, methanol, sustainable aviation fuel, and more. The company is currently readying a detailed project report for the same, according to Singh.
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About 600 acres of land is dedicated for green chemicals, 300 for an industrial hub and 200 for common infra and green belt, the company said in its presentation.
“Hydrogen today is where solar was 10-12 years ago. When the first MW of solar was being commissioned in Gujarat, everybody had apprehensions. Today, nobody is surprised that power can be produced from solar.
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