NLC India approves Rs 1,631 crore investment in renewable subsidiary

New Delhi: In a significant step towards accelerating its green energy initiatives, NLC India Limited, a Navratna Central Public Sector Enterprise under the Ministry of Coal, has approved an investment of up to Rs 1,630.89 crore in its wholly-owned subsidiary, NLC India Renewables Limited (NIRL). The decision was taken at the company’s Board meeting held on July 7.

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The investment will be made in one or more tranches through equity subscription at face value and is aimed at supporting various green energy projects being undertaken by NIRL. The move is subject to necessary approvals from the Department of Investment and Public Asset Management (DIPAM) and other authorities, as applicable.

In a related development, the Board also approved the borrowing of a term loan equivalent to $100 million in Japanese Yen through External Commercial Borrowing (ECB) from Sumitomo Mitsui Banking Corporation (SMBC). The proceeds will be utilised for capital expenditure related to renewable energy projects executed through NLC’s subsidiaries and group companies.

Further, the company has appointed Sundaram & Srinivasan, a reputed firm of Chartered Accountants established in 1943, as Tax Auditors for the financial year 2024–25. The Chennai-headquartered firm has extensive experience in audit, advisory, taxation, and compliance services, with a strong track record in both public and private sector engagements.

The twin decisions—strategic equity infusion in the renewable subsidiary and ECB-based CAPEX financing—underscore NLC India's firm commitment to diversifying its energy portfolio and advancing India's renewable energy goals.

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