Government plans to raise Rs 70 trillion from asset monetisation of PSUs in power sector

The government has plans to raise Rs 70 trillion through asset monetisation of state-owned power companies like Power Grid Corporation of India Limited (Powergrid), NTPC Limited (NTPC), and REC Limited (REC) over the next five years.

As per the proposal, Powergrid, NTPC and REC will raise Rs 70 trillion through monetisation of their operating projects. Nearly Rs 35 trillion may go intro strengthening the transmission and distribution infrastructure in the states as intra-state power transmission and sub-transmission and distribution infrastructure remains largely under-invested leading to technical losses and power outages. The other half of the proceeds will be utilised in greenfield and brownfield projects.