NTPC Green Energy shares zoom 5% as arm wins 500 MW solar power contract in SECI auction; check details

In its filing to exchanges on Tuesday, NTPC Green Energy said, "NTPC Renewable Energy Limited (NTPC REL), a wholly owned subsidiary of NTPC Green Energy Limited, has emerged as a successful bidder in the e-reverse auction conducted by the Solar Energy Corporation of India (SECI) for the development of 2000 MW ISTS-connected solar PV power projects." 

The auction, held on December 9, 2024, also includes the establishment of energy storage systems (ESS) with a total capacity of 1000 MW/4000 MWh. NTPC REL secured 500 MW of solar power capacity at a tariff of ₹3.52 per kWh. 

As per the terms of the tender, the company is required to set up an energy storage system (ESS) of 250 MW/1000 MWh along with the contracted solar capacity. The Letter of Award (LOA) from SECI is awaited, the filing added. 

On November 27, shares of NTPC Green Energy Ltd, the renewable energy arm of NTPC, listed with a premium of over 3% against the issue price of ₹108.

The stock made its debut at ₹111.60, up 3.33% from the issue price on the BSE. Later, it climbed 12.40% to ₹121.40.

On the NSE, it listed at ₹111.50, up 3.24%.

The initial public offering of NTPC Green Energy Ltd got subscribed 2.40 times on the closing day of the share sale.

The ₹10,000 crore share sale had a price band of ₹102-₹108 per share.

"Proceeds from the IPO, about ₹7,500 crore at the upper band, will be used to repay or prepay part or all of its subsidiary NTPC Renewable Energy Ltd's (NREL) outstanding loans, and a portion will be utilised for general corporate purposes," the company had said.

NTPC Green Energy is a 'Maharatna' central public sector enterprise with a renewable energy portfolio, including solar and wind power assets.