Massive Renewable Energy Investment Cleared
In a landmark move, the Union Cabinet has approved a ₹7,000 crore investment exemption for
NLC India Limited (NLCIL) to fast-track renewable energy growth in India.
The decision enables NLCIL to directly invest in its green energy subsidiary—NLC India Renewables Limited (NIRL)—without seeking prior approvals.
This exemption provides critical freedom from the restrictive investment rules that apply to Navratna Central Public Sector Enterprises (CPSEs).
It also removes the 30% net worth investment cap usually imposed by the Department of Public Enterprises (DPE).
Supporting India’s Net-Zero Ambitions
This decision is more than a financial nod—it’s a strategic pillar supporting India’s Net Zero by 2070 commitment.
It aligns perfectly with the country’s Panchamrit goals and its pledge to build 500 GW of non-fossil fuel capacity by 2030.
With this push, NLCIL is set to ramp up its renewable energy targets—from 10.11 GW by 2030 to a staggering 32 GW by 2047.
This scale of expansion positions India as a global leader in the green energy transition.
NIRL to Spearhead Green Projects
As part of the new structure, all of NLCIL’s existing renewable assets—totaling 2 GW—will be transferred to NIRL.
This includes solar and wind power plants that are either operational or near commercial launch.
NIRL will now serve as the flagship platform for green energy, actively participating in competitive bidding for solar, wind, and hybrid projects.
It will also explore strategic joint ventures to broaden its impact.
Economic and Social Impact
The ripple effects of this move extend beyond climate goals. The ₹7,000 crore investment is expected to create thousands of direct and indirect jobs.
Local economies will benefit from new infrastructure, services, and employment opportunities during the construction and operational phases.
This initiative represents a model for inclusive and sustainable economic growth. It brings clean power to more communities while reducing the country’s reliance on fossil fuels and coal imports.
India’s Green Future Strengthened
NLCIL, as a Navratna CPSE under the Ministry of Coal, is no longer just a traditional power player. With this green light from the Cabinet,
it becomes a powerful catalyst in India’s clean energy revolution.
By reducing bureaucratic hurdles and increasing financial flexibility, the government is showing that climate action and economic progress can go hand in hand.
