The government kept the approximately 14% increase in capital investment of ₹67,286.01 Crore that was suggested in the interim document by eight state-owned electricity companies for this fiscal year in the budget that was presented on Tuesday. In the interim budget published on February 1, 2024, the government had allocated ₹67,286.01 Crore for the eight power sector corporations to invest, as opposed to ₹59,119.55 Crore under the revised projection for 2023–2024.
For the fiscal year 2023–24, these eight power sector companies planned to invest a total of ₹60,805.22 Crore annually.
Power Grid Corporation, a central public sector enterprise (CPSE) under the administrative jurisdiction of the Ministry of Power, saw the largest increase in proposed investment at ₹12,250 Crore for this fiscal from ₹8,800 Crore budgeted and revised estimate of investment for 2023–24, according to the budget document presented in Parliament on Tuesday.
The massive hydropower company SJVN Ltd. has increased its investment to ₹12,000 Crore for 2024–25 from the previously revised and budgeted ₹10,000 Crore for 2023–2024.
In contrast to the lowered estimated investment of ₹9,006.31 Crore for 2023–24, another massive hydro power company, NHPC Ltd., would boost its investment to ₹11,761.87 Crore in 2024–25. For 2023–2024, NHPC had allocated ₹10,857.22 Crore for its initial investment.
As stated separately in the budget paper, the NHPC’s investment for this fiscal year also comprises the ₹568.68 Crore capital expenditure of Chenab Valley Power Projects Ltd, its joint venture.
Regarding NTPC Ltd., the revised and planned estimates of ₹22,454 Crore for 2023–24 have been significantly surpassed by the investments of ₹22,700 Crore for current fiscal year.
The estimated investment for Damodar Valley Corporation for 2024–2025 is ₹3,262 Crore, which is more than the revised and budgeted estimates of ₹2,708 Crore for 2023–2024.
In contrast to the revised expected investment of ₹1,150.02 Crore for 2023–24, North Eastern Electric Power Corporation has committed to investing ₹1,841.18 Crore in 2024–25, as per the budget. For 2023–2024, the company projected a budget of ₹2,018.59 Crore.
Tehri Hydro Development Corporation raised its expectations for 2023–24 to ₹4,877.22 Crore; the company would invest ₹3,440.96 Crore this fiscal year.
For the most recent fiscal year, the company allocated ₹3,900.41 Crore for investment.
The paper further states that Power System Operation Corporation Ltd. will invest ₹30 Crore this fiscal year, compared to the revised estimate of ₹124 Crore for 2023–2024.
The power ministry’s overall spending for 2024–2025 has also been increased upward to ₹20,502 Crore from the previous expected expenditure of ₹17,635 Crore for this fiscal year, according to the budget paper.
For the current fiscal year, the ministry has budgeted ₹20,671.32 Crore in expenses.
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