NTPC
State-owned Indian power generating and distributing company NTPC plans to raise Rs. 20,000 crore. Picture: An employee works on electric pylons at a power station in Greater Noida on the outskirts of New Delhi June 8, 2012.Reuters file

The National Thermal Power Corporation Limited, India's public sector company under the Ministry of power, on Tuesday said it was planning to raise about Rs. 20,000 crore in the present financial year. Of the total amount, Rs. 14,000 crore would be raised from the domestic market and the remaining Rs. 6,000 crore would come from foreign bond market.

NTPC supplier Coal India had announced a 6.3 percent rise in coal prices last month.

"Recent increases in the prices by Coal India would have some impact. As per our calculations the impact will be having approximately 7.8 paise (per unit). We can say 8 paise per unit that is the impact as by the recent price hike by Coal India, by the time it will go to the states it will depend upon state to state," Gurdeep Singh, NTPC Chairman and Managing Director, was quoted as saying by the Press Trust of India.

The Indian government aims to install about 100 GW of solar power capacity by 2022, 10 percent of which NTPC is trying to produce. In addition, the company plans to expand its operations to production of fertilisers, which is a regulated industry, Mint reported. The company wants to be a part of a business, which has assured returns.

Last month, the company had informed stock exchanges that it had approved investments in two solar projects, which had a combined cost of about Rs. 3,104 crore.

The NTPC stock was trading at Rs. 148.20, at around 10:20 a.m. on Tuesday, up 0.75 percent on the Bombay Stock Exchange.

[1 lakh = 100,000 | 1 crore = 10 million | 100 crore = 1 billion]

Also read
Quick Links