India’s leading hydropower utility and a Scheduled-A ‘Mini Ratna’ enterprise of the Government of India, NHPC Ltd signed a memorandum of understanding (MoU) on Tuesday with the Ministry of Power for the year 2020-21.
The agreement was inked by Sanjiv Nandan Sahai, Secretary, Ministry of Power and AK Singh, Chairman & Managing Director, NHPC in the presence of senior officials.
In the signed MoU, the generation target for NHPC under excellent rating has been set as 27500 million units (MUs) as against the previous year’s target of 26000MUs. Excellent targets for revenue from operations (net) has been kept as Rs 89 billion, operating profit as a percentage of revenue from operations (net) has been kept as 38 per cent and profit after tax (PAT)/average net worth has been kept as 10.50 per cent.
Further, Capex target to ensure optimum utilisation of budget, targets regarding trade receivables, reduction in claims against the company not acknowledged as debt over the previous year on an overall basis and percentage of procurement of goods and service through the GeM portal to total procurement of goods and services during the previous year have been included under the terms of the MoU.
Besides, milestones in respect of restoration of Unit-1 & 2 of Chamera-II Power Station (Himachal Pradesh) and asset monetisation parameters have also been included in the MoU.