How NTPC Became GOI’s Powerhouse in Recent Years
NTPC (National Thermal Power Corporation) has evolved into India’s primary power infrastructure since its establishment in 1975.
The company began as a small thermal power utility and has since transformed into a major energy giant, incorporating renewable and nuclear energy operations. NTPC maintains its position as a vital leader in the energy sector through strategic expansion and consistent financial performance as India undergoes its power sector transition.
This article covers how NTPC became the Government of India’s primary power generation facility.
Historical Background of NTPC
NTPC started its operations as a public sector enterprise under the Government of India in 1975 to increase national power generation capabilities.
The first thermal power plant of NTPC started its operations in 1982 at Singrauli in Uttar Pradesh.
NTPC has grown its operations throughout the years by reaching multiple important achievements, including surpassing 10,000 MW installed capacity in 1990 and obtaining ‘Maharatna’ status, which provided it with enhanced operational autonomy and the tag of being one of the Maharatna stocks.
Strategic Diversification and Expansion
NTPC Limited has strategically diversified and expanded its operations in recent years to enhance its role as a key power supplier for the GOI. This strategic shift focuses on diversifying the energy mix and achieving operational excellence.
Energy Mix Diversification
NTPC Limited has committed to integrating renewable energy into its existing thermal power operations.
The company plans to install 60 GW of renewable energy capacity by 2032, aiming for renewables to constitute nearly 45% of its overall power generation capacity.
This initiative supports India’s dedication to sustainable energy development and carbon emission reduction goals.
Operational Excellence
In addition to diversifying its energy sources, NTPC has demonstrated operational excellence by achieving significant milestones in power generation.
In the first nine months of FY25, the NTPC Group generated 327 billion units (BU) of electricity, a 3.8% increase from the 315 BU generated in the same period the previous year. Standalone operations saw a gross generation of 278 BU, up from 268 BU in 9M FY24. Coal-based stations achieved a Plant Load Factor (PLF) of 76.2%, outperforming the national average of 67.2%.
Furthermore, on December 8, 2024, NTPC reached a record by generating 300 BU in just 252 days, surpassing the previous year’s milestone by 10 days.
This growth is reflected in the NTPC share price, which has shown resilience despite market fluctuations. As of April 4, 2025, NTPC’s shares closed at ₹350.45.
Renewable Energy Initiatives
The company has significantly advanced its renewable energy initiatives in recent years. In February 2025, the company announced plans to invest over ₹2 trillion (approximately $23 billion) in renewable energy projects in Madhya Pradesh. This investment aims to develop up to 20 GW of capacity, including solar, wind, and pumped hydroelectric storage projects.
On top of that, NTPC Green Energy, which is a subsidiary of NTPC, successfully raised $1.2 billion through an initial public offering in November 2024, reflecting strong investor confidence in India’s renewable energy sector.
These efforts align with NTPC’s goal to achieve 60 GW of renewable energy capacity by 2032, supporting India’s transition to a more sustainable energy future.
Nuclear Energy Ambitions
NTPC plans to invest $62 billion over the next two decades to build 30 GW of nuclear power capacity.
This ambitious expansion includes constructing reactors like the Mahi Banswara plant in Rajasthan, featuring four 700 MW units.
NTPC is also exploring partnerships with international firms for small modular reactors.
Conclusion
In recent years, NTPC has transformed into the Government of India’s primary energy provider by diversifying its energy sources. This has increased the company’s operational efficiency and achieved significant financial growth. Its commitment to renewable and nuclear energy positions it as a leader in India’s sustainable development.
