NTPC Board Approves ₹2,866 Crore Revised Cost for Rammam-III Hydro Project
NTPC Limited's Board of Directors has approved a Revised Cost Estimate-I (RCE-I) of ₹2,865.56 crore for the Rammam-III Hydro Electric Power Project (HEPP). The project has a capacity of 3 x 40 MW. This decision was made during a board meeting that also addressed the partial modification of transferring NTPC's coal mining business to its subsidiary, NTPC Mining Limited (NML).

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NTPC Limited , India's largest power generation company, has received approval for a significant cost revision for its Rammam-III Hydro Electric Power Project (HEPP). The company's Board of Directors has given the green light to a Revised Cost Estimate-I (RCE-I) of ₹2,865.56 crore for the project, marking an important update in the development of this hydroelectric power facility.
Project Details
The Rammam-III HEPP is designed with a capacity of 3 x 40 MW, indicating three units each capable of generating 40 megawatts of power. This project represents NTPC's ongoing efforts to diversify its power generation portfolio and increase its footprint in the renewable energy sector.
Board Approval and Disclosure
According to the company's disclosure under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the NTPC Board convened to discuss and approve this revised cost estimate. The meeting, which began at 6:30 p.m. and concluded at 8:45 p.m., resulted in the approval of the new budget for the Rammam-III project.
Implications for NTPC
This cost revision underscores NTPC's commitment to the Rammam-III HEPP and suggests a thorough reassessment of the project's financial requirements. The approval of a revised cost estimate often indicates adjustments to account for various factors such as changes in material costs, labor expenses, or unforeseen challenges in project execution.
Broader Context
While the LODR data provides insights into this specific project update, it's worth noting that NTPC is also making moves in other areas of its business. The same Board meeting approved a partial modification regarding the transfer of its coal mining business to its wholly-owned subsidiary, NTPC Mining Limited (NML). This strategic decision, along with the hydro project cost revision, reflects NTPC's dynamic approach to managing its diverse energy portfolio.
Financial Impact
The revised cost of ₹2,865.56 crore for the Rammam-III HEPP represents a significant investment in NTPC's hydroelectric capabilities. While the specific financial implications of this revision were not detailed in the disclosure, such updates typically aim to ensure the project's successful completion and long-term viability.
NTPC's focus on both hydroelectric power and strategic business restructuring demonstrates the company's efforts to balance its traditional thermal power operations with renewable energy initiatives, positioning itself for the evolving energy landscape in India.
Historical Stock Returns for NTPC
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
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-0.98% | -2.80% | -2.11% | +5.17% | -20.09% | +239.78% |