NTPC Ltd. and Rajasthan Rajya Vidyut Utpadan Nigam Ltd. (RVUNL) have formalized a 50:50 joint venture to co-own and manage the Chhabra Thermal Power Plant, a 2,320 MW coal-based facility in Rajasthan. Under the new agreement, NTPC will hold management control of the plant, while both entities will participate equally in appointing directors. The joint venture will oversee operations with a focus on exploring capacity expansion opportunities in the future.
Additionally, NTPC and RVUNL signed separate Memoranda of Understanding (MoUs) in March to assess the feasibility of enhancing the Chhabra plant’s efficiency. The MoUs include plans to add supercritical units to the existing facility, implement cost-reduction measures, and undertake renovation and modernization (R&M) of older RVUNL thermal units under an annuity-based framework of 15 to 20 years.
NTPC’s renewable energy arm, NGEL, also entered into an MoU with RVUNL aimed at developing renewable energy projects with a capacity of up to 25 GW, as well as green hydrogen derivatives with a capacity of up to 1 million tons in Rajasthan. These initiatives align with NTPC’s goal to increase its renewable energy portfolio, with plans to expand its non-fossil-based capacity to 45%-50% of its 130 GW target by 2032.