NTPC likely to issue green bonds to raise funds for THDCIL, NEEPCO acquisition

State-run power giant NTPC is likely to raise around Rs 10,000 crore through green bonds for acquisition of the government’s stake in THDC India Ltd (THDCIL) and North Eastern Electric Power Corporation Ltd (NEEPCO), a source said. Proceeds from green bonds are used to finance clean and green and environment-friendly infrastructure. Since THDCIL and NEEPCO are hydro-power generators, any investment in these two firms would fall in the category of green bonds. “The company is most likely to raise over Rs 10,000 crore via green bonds to acquire government stake in THDCIL and NEEPCO.

The acquisition is likely to be before the end of this fiscal as the government intends to achieve its disinvestment target of Rs 1.05 lakh crore,” the source told PTI. “The company has not started the process to appoint a valuer to fix the value of the central government