NTPC Green Energy Signs Major RE Deal with Uttar Pradesh at Davos

Introduction

NTPC Green Energy Limited (NGEL), a key subsidiary of state-owned power giant NTPC, has signed a significant Memorandum of Understanding (MoU) with the Government of Uttar Pradesh. The agreement, finalized on January 22, 2026, during the World Economic Forum Annual Meeting in Davos, Switzerland, paves the way for the development of large-scale renewable energy and green hydrogen projects throughout the state. This move underscores NGEL's aggressive expansion strategy and aligns with Uttar Pradesh's goals for a clean energy transition.

The Davos Agreement

The MoU was formally executed in a high-profile setting, highlighting the importance of the collaboration. The signatories were Vijay Kiran Anand, CEO of Invest UP and UPSIDA, representing the state government, and DMR Panda, Executive Director of NGEL. The agreement aims to leverage NGEL's expertise in the green energy sector to build a robust renewable energy infrastructure in Uttar Pradesh, contributing to both the state's and the nation's decarbonization targets.

Strategic Importance for Uttar Pradesh

This partnership is a strategic step for Uttar Pradesh, one of India's largest states, in its journey towards sustainable energy. By collaborating with a major public sector enterprise like NGEL, the state gains access to significant capital, technical expertise, and project execution capabilities. The focus on both renewable energy sources like solar and wind, as well as emerging technologies like green hydrogen, positions Uttar Pradesh to become a key player in India's future energy landscape. The development of these projects is expected to attract further investment, create jobs, and reduce the state's carbon footprint.

Strong Financial Performance

NGEL's strategic initiatives are backed by robust financial health. The company has reported impressive growth in recent quarters. For the second quarter of fiscal year 2026, ending September 30, 2025, NGEL posted a remarkable 131.6% year-on-year increase in net profit, which stood at ₹88 crore compared to ₹38 crore in the same period last year. This growth was driven by a solid operational performance.

The company's performance in the first quarter of FY26 was also strong, with a net profit of ₹220 crore, marking a 59% year-on-year jump. This consistent financial growth provides a solid foundation for undertaking large-scale capital-intensive projects like the ones planned in Uttar Pradesh.

A Pattern of Strategic Collaborations

The MoU with Uttar Pradesh is part of a broader strategy by NGEL to forge partnerships across India to expand its renewable energy portfolio. The company has been actively signing agreements with various state governments and corporate entities. Notable recent collaborations include:

• Gujarat: An MoU for developing 10 GW of solar projects and 5 GW of wind projects.
• Bihar: An agreement with Bihar State Power Generation Company Limited (BSPGCL) for renewable energy and battery storage projects.
• Singareni Collieries Company Limited (SCCL): An MoU to explore the development of solar, wind, and hybrid projects.
• Paradip Port Authority: A partnership to develop green hydrogen initiatives, including mobility projects.
• GAIL (India) Limited: An approved 50:50 joint venture for renewable energy projects.

These partnerships demonstrate NGEL's multi-pronged approach to growth, targeting different geographies and aspects of the green energy value chain, from generation to new-age solutions like green hydrogen.

Vision and Capacity Goals

As the dedicated green energy arm of NTPC, NGEL is tasked with leading the parent company's transition towards a cleaner energy portfolio. The company has an ambitious target to achieve 60 GW of renewable energy capacity by the fiscal year 2032. Its current portfolio stands at 16,896 MW, which includes both operational projects and projects under development. NGEL pursues this growth through both organic development and inorganic acquisitions, participating actively in tenders and the development of Ultra Mega Renewable Energy Power Parks (UMREPP).

Market Reaction

The market responded positively to the announcement of the MoU. On January 22, 2026, the shares of NTPC Green Energy Ltd closed at ₹91.23 on the NSE, marking an increase of ₹1.88, or 2.10%. This reflects investor confidence in the company's growth trajectory and its ability to secure high-value projects.

Conclusion

The Memorandum of Understanding with the Uttar Pradesh government is a significant milestone for NTPC Green Energy Limited. It not only expands the company's project pipeline but also solidifies its position as a leading player in India's renewable energy sector. Backed by strong financials and a clear strategic vision for collaboration, NGEL is well on its way to achieving its 60 GW capacity target by 2032 and playing a pivotal role in India's clean energy journey.