Energized! Govt Plugs Power Sector with Rs 67,286 Crore Investment

The government has proposed a substantial 14% increase in the investment for eight state-owned power companies, reaching Rs 67,286.01 crore for the financial year 2024-25. This marks a notable rise from the revised estimate of Rs 59,119.55 crore allocated for the current financial year. The budget document presented in Parliament on February 1, 2024, reveals specific details of the proposed investments.

Power Grid Corporation stands out with the highest surge in proposed investment, reaching Rs 12,250 crore for the next financial year, compared to the budgeted and revised estimate of Rs 8,800 crore for 2023-24. Hydro power giant SJVN sees an increase in investment to Rs 12,000 crore for FY25, surpassing the revised and budgeted amounts of Rs 10,000 crore for the ongoing financial year. NHPC is set to elevate its investment to Rs 11,761.87 crore in 2024-25, a notable increase from the revised estimated investment of Rs 9,006.31 crore for the current fiscal.

NTPC experiences a slight uptick in investment to Rs 22,700 crore for the next fiscal year compared to the revised and budgeted estimates of Rs 22,454 crore for FY24. Damodar Valley Corporation's investment is pegged at Rs 3,262 crore for 2024-25, surpassing the revised and budgeted estimates of Rs 2,708 crore for 2023-24. North Eastern Electric Power Corporation is slated to invest Rs 1,841.18 crore in 2024-25, exceeding the revised estimated investment of Rs 1,150.02 crore for the current financial year, with the company's budget estimate at Rs 2,018.59 crore for 2023-24.

Tehri Hydro Development Corporation plans to invest Rs 3,440.96 crore in the next financial year, in contrast to the revised estimate of Rs 4,877.22 crore for 2023-24. The budgeted investment for the company in the current fiscal was Rs 3,900.41 crore.

The Budget document also outlines a slight increase in the Power Ministry's total expenditure, pegged at Rs 20,502 crore for 2024-25, compared to the revised estimated expenditure of Rs 17,635 crore for the current financial year.

News by Rahul Yelligetti