Government-owned mining and power generating company NLC India has incorporated a new wholly-owned subsidiary, NLC India Green Energy (NIGEL), to take care of its renewables business.
Currently, projects to the tune of 2 GW of renewable energy are under implementation and will be taken up by NIGEL, including a 600 MW solar power project in Gujarat and an 810 MW solar power project in Rajasthan.
The company has been registered in Chennai and will begin its operations soon.
Prasanna Kumar Motupalli, Chairman and Managing Director of NLC India, said, “The newly-incorporated company will take care of planning, participating in upcoming renewable energy tenders, tendering, execution and commissioning of renewable projects. The subsidiary is expected to achieve 5 GW capacity by 2030 and contribute to carbon emission reduction.”
NLC categorizes its operations into three main segments: mining, encompassing lignite and coal; power generation, which includes thermal, solar, and wind energy; and power trading.
In June this year, NLC India announced the incorporation of a subsidiary, NLC India Renewables, to manage the existing renewable assets of the company.
According to Mercom India Solar Project Tracker, NLC India has nearly 1.38 GW of large-scale solar power projects in operation.
The company generated 2,195 MU of renewable power in the financial year (FY) 2022-23, compared to 2,184 MU in FY 2021-22.
The company has signed a memorandum of understanding with Assam Power Distribution Company (APDCL) to establish a 1,000 MW solar power project in Assam through a joint venture mode.
Its subsidiary company, NLC Tamil Nadu Power, has planned to bundle 223 MW of solar power with its thermal power generation to address renewable generation obligation and to gain economic advantage from the flexible generation with renewable bundling with thermal power generation program.
Recently, NLC India won the bid to develop an 810 MW solar project from Rajasthan Rajya Vidyut Nigam (RRUVNL). NLC quoted a tariff of ₹2.64 (~$0.03)/kWh to win the auction. The project is part of RRVUNL’s 2 GW Ultra Mega Solar Park in the Pugal Tehsil of Bikaner District, Rajasthan.
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