The Cabinet Committee on Economic Affairs has approved a special exemption for NLC India Limited (NLCIL) from the prevailing investment guidelines applicable to Navratna Central Public Sector Enterprises (CPSEs). The special exemption enables NLCIL to invest Rs 70 billion in NLC India Renewables Limited (NIRL). In turn, NIRL will invest in various projects directly or through the formation of joint ventures, without the requirement of prior approval under the existing delegation of powers.
Furthermore, the investment is exempted from 30 per cent net worth ceiling stipulated by the Department of Public Enterprises for overall investment by CPSEs in joint ventures and subsidiaries. NIRL is the wholly owned subsidiary of NLCIL.
NLCIL is a power utility and Navratna CPSE. It operates seven renewable energy assets with a total installed capacity of 2 GW. The projects are either operational or close to commercial operation.
