The Oil and Natural Gas Corporation (ONGC) and NTPC are planning to set up a joint venture (JV) company for renewable energy business.
The two Maharatnas entered into a memorandum of understanding (MoU) on 21 May 2020 in Delhi to formalise the arrangement.
The MoU will enable both companies to achieve their targets in renewable energy business.
As per the MoU, NTPC and ONGC will explore and set up renewable power assets including offshore wind, in India and overseas, and explore opportunities in the fields of sustainability, storage, e-mobility and environmental, social and governance (ESG) compliant projects.
The company has a renewable portfolio of 176 MW comprising 153 MW wind power and 23 MW of solar.
Through this collaboration with NTPC, ONGC envisages significant growth in its presence in the renewable power sector as outlined in its Energy Strategy 2040 document.
Similarly, NTPC, with 920 MW of installed renewable power capacity in its portfolio with around 2,300 MW of renewable energy projects under construction and aiming to reach 32 GW by 2032, will benefit from the partnership by expanding its footprint in offshore wind and overseas renewable energy projects as well.