NTPC drops acquisition plans

NTPC drops acquisition plans
10/11/2017 , by , in ALLIED

NTPC does not want to acquire any stressed assets from private companies. Instead it wants to help banks that take them over for non-repayment of debt, run these stations in lieu of a service charge.

“For assets that are still under implementation NTPC intends to assist banks complete construction of these projects and achieve commercial operations,” said K Biswal, director finance at NTPC.

He was talking to reporters at the 7th Asian Mining Congress organised by The Mining, Geological Metallurgical Institute of India (MGMI) in Kolkata on Wednesday. NTPC had decided on taking over stressed assets a few years ago. However, it did not end up acquiring any such power units or plants from the private sector although a number of plants were up for grabs. Later the company, decided on taking over assets from state-owned power companies that were not running very well. According to sources, NTPC has taken over a number of thermal and hydel power plants from other central sector companies as well as state owned power stations.

Latest in NTPC’s list of acquisitions has been the Chhabra Thermal Power Plant from Rajasthan government. “The station includes a 1000 MW unit that is running and another 1,320 MW capacity that is under construction,” said Biswal.

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