NTPC more than doubles Rammam-III HEPP cost estimate to Rs 2,865.56 crore

New Delhi: The Board of Directors of NTPC Limited has approved more than doubling the estimated cost of its Rammam-III Hydroelectric Power Project (HEPP) to Rs 2,865.56 crore, according to a regulatory filing made to the stock exchanges on Thursday. The 120 MW project, located in Darjeeling district of West Bengal, was originally approved in 2014 at a cost of Rs 1,381.84 crore with a scheduled commissioning in September 2019.

However, the Ministry of Statistics and Programme Implementation (MoSPI) has now listed March 2029 as the expected date of completion, reflecting a delay of almost a decade.

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Project details

Rammam-III is designed as a run-of-the-river scheme on the Rammam River and will comprise three units of 40 MW each. The project includes a barrage and diversion structure, an 8.2-km headrace tunnel, surge shaft, a vertical penstock of about 1,520 metres, and a 740-metre tailrace tunnel.

Once operational, the plant will add renewable capacity to NTPC’s portfolio, which is under pressure to expand non-fossil generation to meet the company’s target of 60 GW of renewables by 2032.

NTPC transfers coal mining biz to subsidiary

Separately, in another disclosure on Thursday, NTPC said its board has approved a partial modification regarding the transfer of its coal mining business to its wholly-owned subsidiary, NTPC Mining Limited (NML). The coal mining business contributed Rs 7,735.54 crore in revenue in FY 2024-25, or 4.05 percent of NTPC’s consolidated turnover. The transfer, valued at an initial purchase consideration of Rs 10,503.27 crore, will be executed in a phased manner.

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