Union Cabinet Approves ₹7,000 Crore Investment Exemption for NLCIL’s Renewables Push

The Union Cabinet has granted a significant investment exemption to NLC India Limited (NLCIL) worth ₹7,000 crore, aimed at accelerating its renewable energy targets through its subsidiary, NLC India Renewables Limited (NIRL). This decision enhances India’s efforts towards sustainable energy and reduces reliance on fossil fuels.

₹7,000 Crore Investment Clearance Strengthens NLCIL’s Green Energy Plans

On July 16, 2025, the Cabinet Committee on Economic Affairs allowed NLCIL to invest ₹7,000 crore in NIRL, bypassing the existing approval norms applicable to Navratna CPSEs. The exemption also lifts the 30% net worth cap set by the Department of Public Enterprises for investment in subsidiaries and joint ventures, enabling greater autonomy and project execution agility. This move directly aligns with the government’s objective of building 500 GW of non-fossil fuel energy capacity by 2030 as part of India's COP26 commitments.

NIRL as the Flagship Vehicle for Renewable Expansion

With this approval, all existing renewable assets under NLCIL totalling 2 GW are to be transferred to NIRL. The subsidiary is actively bidding for fresh projects and forming joint ventures across the renewable landscape. NLCIL aims to scale up to 10.11 GW by 2030 and plans to reach 32 GW by 2047. These developments position NIRL as a key driver of India’s energy transformation.

Read More: Cabinet Greenlights ₹50,000 Crore for Agriculture Boost and Clean Energy Expansion!

Broader Green Impact and Economic Boost

This investment is expected to significantly reduce coal dependency and minimise energy imports. In addition to its environmental benefits, the renewable push is projected to create considerable employment opportunities during construction and operation, contributing to inclusive regional growth and dependable 24x7 power delivery.

NLC India Share Price Performance

On July 17, 2025, NLC India share price opened at ₹243.00 on NSE, above the previous close of ₹238.40. During the day, it surged to ₹243.00 and dipped to ₹241.03. The stock is trading at ₹242.75 as of 9:16 AM. The stock registered a moderate gain of 1.82%.

Over the past week, it has moved up by 6.89%, over the past month, it has moved up by 9.29%, and over the past 3 months, it has moved up by 0.55%.

Conclusion

This Cabinet approval not only empowers NLCIL with the financial freedom to scale renewable energy projects but also underlines India's commitment to sustainability and energy independence. With NIRL spearheading green initiatives, India moves closer to its energy and climate goals.

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