The Cabinet has approved enhanced delegation of financial powers to NTPC Ltd, allowing the state-run power utility to invest up to Rs 20,000 crore in its green energy subsidiaries — a sharp rise from the earlier cap of Rs 7,500 crore.The relaxation will enable NTPC to infuse capital into NTPC Green Energy Limited (NGEL) and, in turn, support investments by NGEL in NTPC Renewable Energy Limited (NREL) and other joint ventures and subsidiaries for scaling up renewable energy capacity addition. The approval is aimed at fast-tracking India’s push towards achieving 60 GW of renewable capacity under the NTPC Group by 2032.“The enhanced delegation given to NTPC and NGEL will facilitate accelerated development of renewable projects in the country,” the government said in an official release.

It also noted that the move would strengthen power infrastructure and ensure reliable, round-the-clock electricity access nationwide.India has already achieved a key milestone by reaching 50% of its installed electricity capacity from non-fossil fuel sources—five years ahead of its Nationally Determined Contributions target under the Paris Agreement, the release stated. The country is now targeting 500 GW of non-fossil energy capacity by 2030 and net zero emissions by 2070.

In addition to contributing to climate goals, the renewable energy expansion is expected to unlock major employment potential. “RE projects will also generate direct and indirect employment opportunities to the local people at construction stage as well as during O&M stage,” the government said. The initiative is also expected to give a fillip to local suppliers, MSMEs, and grassroots entrepreneurship.NGEL, the listed green energy arm of NTPC, is spearheading the group’s renewable capacity addition through both organic and inorganic growth. Its wholly owned subsidiary, NREL, will be the primary vehicle for executing new projects. Together, NGEL and NREL currently have a renewable energy portfolio of around 32 GW — comprising approximately 6 GW operational, 17 GW contracted or awarded, and a pipeline of around 9 GW, according to the release.