IndiaCatalog.com
India News
Search Web Directory
News Home
Power struggle: RK Singh asks NTPC to buy stressed units
Posted on 23rd September 2019
The power ministry has asked state-run NTPC to bid for potentially viable projects in the National Company Law Tribunal (NCLT) and acquire them if the prices are attractive.

Power minister RK Singh told FE that he had asked NTPC to take a look at all the plants undergoing the CIRP process. “I have asked them to identify the ones with good machinery,” Singh said.

Approximately, 40,000 MW of capacity across 34 power plants had been declared stressed with an outstanding debt of Rs 1.7 lakh crore. Around 13 projects worth Rs 59,000 crore are no longer in trouble. “Resolutions have been found for most and some are in the early stages of resolution,” he said. “All these projects are in different stages of completion,” Singh said, adding: “Some of them are in very early stages, with only land being bought.”

The minister clarified it is difficult for NTPC to bid for projects outside NCLT. “The valuations discovered in the tribunal are absolutely transparent whereas that may not be the case elsewhere,” he said.

The development comes at a time when major power conglomerates are cash-strapped and power plants are finding it difficult to find new takers.

It is reliably learnt that NTPC might not prioritise the availability of power purchase agreements (PPAs) while bidding for stressed assets in NCLT —- a business policy which the company would be resorting to for the first time.

A senior company official had told FE that the firm would be looking for operational parameters such as availability of water supply, rail connectivity and transmission infrastructure to assess if they are fit for takeover. “Another important issue would be easy availability of spare-parts which is related to the equipment manufacturers and suppliers to the project,” the person added.

The majority of the stressed power projects run on boilers and other equipment supplied by BHEL. Other major companies which have built the main power generation component are L&T and GE. China-based Harbin Electric and Dongfang Electric also have significant presence in this segment.

Stressed power assets got partial relief after the Supreme Court, on April 2, declared the Reserve Bank of India’s February 12, 2018 fiat as ‘ultra vires’. The circular stated that if a resolution plan wasn’t found for the ‘default’ cases by August 27, 2018, the accounts should be sent to bankruptcy courts. The SC, on September 11 last year, has also asked banks to maintain status quo and not to initiate insolvency proceedings against the defaulting companies under the circular. Following the SC order, RBI issued a new circular on June 7, which relaxed compulsory referral to the bankruptcy court.

The Cabinet Committee on Economic Affairs, in March, had also approved a slew of measures, mainly related to coal supply issues, payment discipline and sanctity of contractual agreements. The steps were in line with certain recommendations of a group of ministers and a high-level empowered committee constituted to address the issue of stressed power assets.

Related Companies: NTPC Limited   

Other Latest News
Bharti Infratelset to miss Oct 24 deadline to complete deal with Indus Towers
Posted on 23rd October 2019
Bharti Infratel will announce the next course of action regarding its merger with Indus Towers in the next couple of days, as the company is set to miss the October 24 deadline to complete the deal.

As per Bharti Infratel chairman Akhil Gupta, the company has received most of the government approvals except for the one pertaining to the foreign direct investment (FDI) and as a result of that, the merger cannot be completed by October 24.


Sebi moves apex court against SAT order quashing ban on Price Waterhouse
Posted on 23rd October 2019
Market regulator Sebi on Tuesday moved the Supreme Court challenging the Securities Appellate Tribunal’s order that quashed its two-year ban imposed on audit firm Price Waterhouse (PW) in the wake of the Satyam Computer fraud in 2009.

Sebi had in January last year barred Price Waterhouse (PW) and two auditors — S Gopalakrishnan and Srinivas Talluri — from auditing listed companies and had also directed the latter not to engage any audit firm forming part of the Price Waterhouse network.


Pak's ISI join hands with pro-Khalistan outfits, forms new terror group KKRF to create unrest in India: Sources
Posted on 23rd October 2019
Intelligence agencies have warned that Pakistan has joined hands with pro-Khalistani groups to create unrest in Jammu and Kashmir (J&K) and Punjab in order to revive and intensify terror activities in the region.

As per intelligence sources, Pakistan has formed Kashmir Khalistan Referendum Front (KKRF) which also involves its ISI.


Infosys shares dip 16% amid allegations of 'unethical practices', worst fall in six years
Posted on 23rd October 2019
The stock prices of Indian multinational Infosys fell by 16% on Tuesday, following an anonymous letter by whistleblowers accusing Chief Executive Officer (CEO) Salil Parekh and Chief Financial Officer (CFO) Nilanjan Roy of indulging in unethical practices to boost revenue and profits in recent quarters.

Facebook antitrust probe grows as dozens of states join New York
Posted on 23rd October 2019
Facebook’s antitrust woes widened on Tuesday as dozens more states joined New York’s wide-ranging investigation into whether the company’s business practices have stifled competition or put users at risk.

A total of 45 states — plus Guam and the District of Columbia — are now partnering in the bipartisan investigation, New York Attorney General Letitia James, who’s leading the probe, said in a statement.


» Post a FREE Classified Advertisement
Inviting Real Estate Agents, Job Placements Agents, Educational Institutes, Software Service Providers, Real Estate Builders, Marriage Bureaus, Travel Agents, Restaurant Owners, Health & Fitness Centers and other Local Businesses to Post a FREE Classified Advertisement on Cootera.com Classifieds Website.
Jobs in India India Real Estate Automobiles Matrimonials Beauty & Fitness

Add a comment for Power struggle: RK Singh asks NTPC to buy stressed units
Please only use this form to enter comments on the above company. All comments are reviewed before they are displayed on the web site. Not all comments may be displayed. Check back with us to see if your comments have been displayed.
If you want us to email the comments posted by users, please Subscribe by email
Name*
Comments*
Security Code*
 

Be the first person to write a business review for Power struggle: RK Singh asks NTPC to buy stressed units

Most Read News

SEBI notifies exit load on redemptions from liquid funds within 7 days of investment

Brexit deal, divestment plans boost Sensex, Nifty

Air India Assets Holding raises another Rs 7,985 cr

UK: 'INVENT' programme supports startups in low-income states

Strategic sale buzz: BHEL gains 27.5% in intra-day trade

More India News

Photo Gallery

KTM Duke 200(10 Images)KTM Duke 200
Theri(11 Images) Theri
  India Web Directory
Business Profiles
Automotive Directory
IT/ITES/BPO Directory
Hotel Directory
Health Directory
Business Directory
Gems & Jewellery
Education Directory
Real Estate Directory
Agriculture Directory
Logistics Directory
Yellow Pages
NRI Guide
Photo Galleries
Global Web Directory
*** FREE India Classifieds
Order Premium Listings
Submit a Site
Business Reviews
Home
About us
Link to us
Advertise
Contact us
Google Search Keywords: India Catalog, IndiaCatalog, India Web Directory
    © 1999 - 2019 IndiaCatalog.com
    All Rights Reserved
Privacy Statement