NTPC to buy assets of Chhabra power plant in Rajasthan

Rajasthan Rajya Vidyut Utpadan Nigam Ltd has been looking for buyers for three years

State-owned NTPC has signed a “non-binding” deal to buy the existing and upcoming assets of the Chhabra thermal power plant, owned and operated by the Rajasthan Rajya Vidyut Utpadan Nigam Ltd (RRVUNL), a Rajasthan government undertaking.

RRVUNL has been looking for buyers for three years. The memorandum of understanding (MoU) between NTPC and RRVUNL was signed on Wednesday and the former announced it on the exchanges on Thursday morning. While the cost of the plant is estimated at around Rs 15,000 crore, NTPC will currently pay around Rs 5,000 crore for the operational 1,000 Mw, according to sources.

The cost