The National Thermal Power Corporation (NTPC) said that its board has approved in-principal the company’s acquisition of a 100% stake in North Eastern Electric Power Corporation (NEEPCO) and a 74.5% stake in THDC India held by the Indian government.

NEEPCO, which is based in Meghalaya, is said to generate nearly 40% of the energy required in the northeast region in India. The other company involved in the deal -THDC India is a hydroelectric power company headquartered in the north Indian state Uttarakhand.

The deals will also see the transfer of management control of the two companies to NTPC.

The financial terms of the deals were not revealed by the Indian state-owned energy conglomerate. However, it was reported by The Hindu BusinessLine in December 2019 that NTPC will be spending INR15bn ($210m) on the acquisitions.

NEEPCO was incorporated in 1976 for developing and maintaining power stations in the north eastern region under the Indian ministry of power.

The electric utility is engaged in operating seven hydro power plants, three thermal power stations, and a solar power plant with a combined installed capacity of around 1.46GW. The company has 925MW of installed hydro capacity, 527MW of thermal power capacity, and 5MW of solar power capacity.

NEEPCO is due to commission the 600MW Kameng hydro project

NEEPCO is due to commission the 600MW Kameng hydroelectric power project in West Kameng district, Arunachal Pradesh within the financial year 2019-20.

Once commissioned, the Kameng hydropower project is set to surpass NEEPCO’s three-unit 405MW Ranganadi Hydro Electric Plant in Arunachal Pradesh as the largest hydropower plant in northeast India.

NEEPCO’s thermal capacity comes from the 291MW Assam Gas Based Power Plant in Assam, the 135MW Agartala Gas Turbine Combined Cycle Power Plant, and the 101MW Tripura Gas Based Combined Cycle Power Plant, both located in Tripura.

THDC India is a joint venture between the governments of India and Uttar Pradesh. The company was mainly created to develop, operate and maintain the 2.4GW Tehri Hydro Power Complex in Uttarakhand and other hydropower projects.

Currently, THDC India’s portfolio comprises 13 hydro, thermal, wind, and solar assets with a combined capacity of 5.54GW. Included in these is 1.51GW operational capacity while the remaining capacity is under various stages of development or implementation.

The company is also said to have various projects in India that are in the business development stage.