Is it true that NTPC is planning to list its renewable energy arm separately?

India’s largest and dominant thermal power company, the state owned NTPC, plans to list its arm, NTPC Renewable Energy Ltd. The idea is to enhance hidden value by raising funds for its ambitious target of achieving 60 GW renewable energy capacity by 2032. NTPC has been looking consistently to change its power production mix largely in favour of more renewable sources of energy and rely less on fossil fuel driven thermal energy.

As a result of this move, NTPC will also look to reduce its net energy intensity by 10% before 2032. The challenge is to get the funds and the government is unlikely to be able to support for now. To add nearly 8 GW each year over the next 10 years, NTPC needs substantial funds and that will be partially managed via NTPC Renewable listing. The idea here is to leverage the current valuation advantage that renewable energy projects are commanding in market.