India’s state-run electric utility NTPC Limited, formerly known as National Thermal Power Corporation Limited, is planning to raise INR150bn ($2bn) through a divestiture plan.

The plan includes listing of its three business units NTPC Renewable Energy (NTPC REL), North Eastern Electric Power Corporation (NEEPCO) and NTPC Vidyut Vyapar Nigam (NVVNL).

In addition to listing, the plan also includes the sale of its stake in NTPC-SAIL Power Company Limited (NSPCL), which is expected to complete in this fiscal year.

The NSPCL is an equal stake joint venture between NTPC and SAIL. It was established to own and operate captive power plants for SAIL’s steel manufacturing facilities at Durgapur, Rourkela and Bhilai.

Listing of hydropower unit NEEPCO and the power trading arm NVVNL is planned for early 2024.

NTPC REL, a 100% subsidiary of NTPC, is expected to be listed by October next year.

It has a renewable project portfolio of 3,450MW, with 820MW projects under construction, 2,630MW projects backed by PPAs are pending to be executed.

NTPC had incorporated NTPC REL with the Registrar of Companies, NCT of Delhi & Haryana in October last year, to shift towards renewable energy business.

The listing of NTPC REL is seen as significant, as the company aims to have 60GW of renewable energy capacity by 2032.

Also, NTPC is expected to merge its 800MW Koldam hydropower project in the northern state of Himachal Pradesh with its renewables subsidiary, reported Times of India.

Last month, NTPC won a 1.9GW solar power project contract in the bids floated by Indian Renewable Energy Development Agency (IREDA).