NTPC and ONGC officially launched a 50:50 joint venture (JV) aimed at accelerating the development of renewable energy projects in India and abroad. The newly incorporated entity, ONGC NTPC Green Private Ltd (ONGPL) was formed with an initial authorized share capital of Rs10 lakh, the companies announced on November 18. This JV is subject to regulatory compliance.

Both NTPC and ONGC have committed to the JV equally, with each contributing Rs. 5 lakh to the company’s equity share capital. This was done through the subscription of 50,000 shares at a face value of Rs. 10 per share.

ONGPL will be primarily engaged in exploring, developing, and acquiring renewable energy projects, including wind, solar, and other forms of clean energy. The company will pursue both greenfield development and acquisitions, with a particular focus on offshore wind energy projects. As part of its strategic goals, ONGPL will also assess opportunities in energy storage, e-mobility, and environmental, social, and governance-compliant initiatives, contributing to India's low-carbon transition.

Additionally, ONGPL will explore innovative approaches to carbon and green credits, which are key to India's ambition to achieve net-zero emissions by 2070. This initiative is expected to boost the country’s shift to a low-carbon economy and help meet the growing demand for clean energy.

The joint venture received approval from India’s Ministry of Power on August 19, 2024. The venture is now poised to move forward with its plans, which includes acquiring renewable energy assets in both India and abroad.

In a filing to the stock exchange, the company outlined its core objectives: "ONGPL will be engaged in the business of exploring and setting up renewable energy (RE) projects and assets both through Greenfield development and acquisitions. ONGPL will also assess the feasibility and establishment of offshore wind projects, among other related activities."

In a statement, an ONGC spokesperson remarked, "Our collaboration with NTPC in this joint venture demonstrates our shared commitment to India’s renewable energy future. We are confident that this strategic partnership will unlock significant opportunities in renewable energy generation, energy storage, and green technology."

"With the creation of ONGPL, we are excited about the potential for growth and innovation in the renewable energy space. This JV will not only support our goal to contribute to India's clean energy mission but will also provide us with new avenues for technological advancements and strategic collaborations," said a representative from NTPC.

The JV represents a significant step in both companies' efforts to diversify their energy portfolios and contribute to India’s green energy goals. Both NTPC and ONGC have a long-standing commitment to sustainability, and this collaboration is expected to help both entities capitalize on emerging opportunities in renewable energy.