NHPC Ltd. plans to double its revenue and net profit levels in the next four years, according to Chairman and Managing Director Raj Kumar Chaudhary.
The Government of India's flagship hydroelectric generation company will be able to maintain its 15% Ebitda margins going forward and expects majority of its growth to kick in from financial year 2026, he said. Ebitda stands for Earnings Before Interest, Taxes, Depreciation, and Amortization.
While the company has forayed into the pumped storage energy system space, it will continue to focus on its conventional hydroelectric segment.
Project Commissioning Timeline
NHPC's current operational capacity stands at 7,144 MW, with 10,763 MW of hydro and solar projects under construction. The company will commission majority of its under-construction projects by fiscal 2028, Chaudhary told NDTV Profit. It expects its 2,880-MW Dibang Power Project to be commissioned in fiscal 2032.
The company will commission over 2,000 MW of projects this financial year, taking its total operation capacity to over 9,000 MW by the end of the current financial year, it said.
Pumped Energy Storage Systems
Chaudhary noted how the company has signed many memorandums of understanding with the state governments of Andhra Pradesh, Maharashtra and Gujarat. The company has a total capacity of 11,314 MW pumped storage projects signed in. Of these, 4,350 MW of projects are in the 'Detailed Project Report' stage. Additionally, 2,600 MW of projects have completed the 'Pre-Feasibility Report' stage. The remainder capacity of projects are currently being prepared for the 'Detailed Project Report' stage, Chaudhary said.
Pumped storage schemes are developed with a 20% equity base, giving a 17% return on equity to the company, he said. For example, a 1,000 MW project will on average cost Rs 5,000 crore for the firm to develop. Out of this, around Rs 1,000 crore will be equity based and thus around 17% or Rs 170 crore would be the return on equity a company gets per year.
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