InvestorQ : Is GAIL planning to take over the ONGC Tripura Power Company and how would it benefit the company?
Neelam Naik made post

Is GAIL planning to take over the ONGC Tripura Power Company and how would it benefit the company?

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Anu Biswas answered.
1 month ago
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NCLT gave its approval for GAIL to acquire the 26% stake in ONGC Tripura Power Company that was held by IL&FS. It may be recollected that IL&FS had gone bankrupt in the year 2018 and currently its resolution is being handled by a special board of directors headed by Uday Kotak. ONGC Tripura was an SPV set up jointly by ONGC, IL&FS and government of Tripura to set up a 727 MW combined cycle gas turbine thermal power plant at Palatana in Tripura.

ONGC Tripura supplies electricity to the North Eastern states and is 50% held by ONGC while IL&FS holds 26% stake. The Tripura power project was set up mainly to use locally produced natural gas to produce electricity since it was not viable to transport gas. It also represented the single largest investment in North East. This acquisition will allow GAIL to enhance its green energy portfolio, which is what it is looking to expand at the current juncture.

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