NTPC shares in focus after pact with Gujarat govt to explore new energy ventures

Shares of state-owned power giant NTPC Ltd are likely to be in focus on Friday after the company announced it had signed an initial agreement with the government of Gujarat to explore opportunities in both conventional and non-conventional energy sectors, thereby strengthening its presence in one of India’s most industrialized states.

The Memorandum of Understanding (MoU) was exchanged in the presence of Bhupendrabhai Patel, Chief Minister of Gujarat; Pralhad Joshi, Union Minister of New & Renewable Energy; Kanubhai Desai, Minister for Finance, Energy and Petrochemicals, Gujarat; and other senior dignitaries, the company said in a statement.

Focus on Gujarat’s energy ecosystem

The MoU was signed during the Vibrant Gujarat Regional Conference held in Mehsana, Gujarat. According to NTPC, the agreement is intended to facilitate collaboration with the state government in developing both traditional power generation and renewable energy projects, aligning with India’s broader energy transition goals.

The company said the pact would enable it to “explore opportunities in both conventional and non-conventional energy sectors,” underscoring its strategy to balance growth in fossil-based assets with aggressive expansion in renewables.

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Broader transition push

NTPC, India’s largest power generator, has in recent years accelerated its diversification into green energy, targeting 60 GW of renewable capacity by 2032. The latest agreement with Gujarat comes at a time when the company is pursuing state-level collaborations to scale up its solar, wind, and green hydrogen portfolio.

NTPC accounts for about a fourth of the country’s electricity generation. The company has an installed capacity of over 83 GW, with another 30.90 GW under construction, including 13.3 GW of renewable energy projects.

The company did not disclose financial details or project timelines under the MoU.

Shares of NTPC closed at 0.7% higher at Rs 335.90 on Thursday.

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