NTPC to straddle power value chain from mining to distribution

NEW DELHI: Power and coal minister Piyush Goyal is confident that state-owned NTPC Ltd will emerge as one of the most valuable companies on the global energy map in the next 4-5 years.

“Not just in India but I see NTPC emerging as the one of the world’s most valuable companies by 2019... I want to see NTPC as an end-to-end integrated company,” Goyal said on Monday.

The forward and backward integration would mean NTPC will be present in the entire spectrum of power-generation, from coal mining to households as power distributor.

At present, NTPC is India’s largest power producer with a capacity of over 43,000 mw and contributes more than 25% of electricity in the country. Power distribution and coal production have been identified as the two big drivers for its future growth.

In order to arrest the huge outgo of foreign exchange for meeting coal imports, Goyal has been batting for increasing domestic coal production.

He has announced plans to double the annual production capac- ity of Coal India Ltd to 1 billion tonnes by 2019. India imported 142 million tonnes of coal worth $16 billion (`64,000 crore) in 2013-14.

NTPC is number 11 by market cap among India’s top listed companies. Globally, NTPC is ranked as the number one Independent Power Producer and energy trader in the Platts Top 250 Global Energy Company ranking 2014.

NTPC has also announced big strides in the solar energy sector and may add close to 10,000 MW in the next 5 years. Goyal said besides power generation, he wants to see NTPC become self-sufficient in coal.

NTPCCMD Arup Roy Choudhury had recently told HT that in line the government’s plans to boost domestic output of coal, NTPC may add up to 300 million tonnes of coal output within the next four to five years.