- 02 Nov 2022
- ICICIdirect Research
NTPC TO AWARD CONTRACTS FOR 4.8GW COAL POWER PROJECTS IN NEXT THREE YEARS
NTPC - 357 Change: 1.55 (0.44 %)News:
After awarding the contract for a 1,320 MW thermal power project in Odisha’s Talcher, NTPC has finalised awarding contracts for four more coal-fired power projects over the next three years. These four projects will add 4.8 GW of electricity generation capacity to the country. NTPC is going to set up new thermal power units at Sipat (1x800 MW) in Chattishargh, Singrauli (2x800 MW) in Uttar Pradesh, Darlipali (1x800 MW) in Odisha, and Lara (2x800 MW), again in Chattisgarh. All these four projects will be expansion projects wherein additional units will be added to the existing thermal power plants. NTPC will be spending about Rs 50,000 crore on these five projects (including Talcher), which comes to an annual capex of about Rs 12,000 crore on coal power projects
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Additional ordering of 4.8 GW will create ordering opportunities for EPC players like Bhel and L&T. It will provide some relief to Bhel as 80% of the business comes from power equipment division and the same was lacklustre on account of almost nil coal based capacity addition over five years
Impact:
Positive