NTPC Retains IND AAA Rating; India Ratings Approves ₹1.80 Lakh Crore NCDs

New Delhi, February 17, 2026: NTPC Limited has retained its top-tier ‘IND AAA’ long-term issuer rating with a Stable Outlook, as affirmed by India Ratings and Research Pvt. Ltd. (Ind-Ra) in its latest press release dated February 16, 2026.

The agency has also assigned an ‘IND AAA/Stable’ rating to NTPC’s proposed non-convertible debentures (NCDs) worth ₹1,80,000 crore, reinforcing investor confidence in India’s largest power producer.

Key Rating Actions

Issuer Rating: IND AAA / Stable (Affirmed)
Proposed NCDs: ₹1,80,000 crore – IND AAA / Stable (Assigned)
Outstanding NCDs: ₹4,50,010 crore – IND AAA / Stable (Affirmed)
Commercial Paper: ₹76,000 crore – IND A1+ (Affirmed)
Proposed Bank Loans (₹60,001 crore): IND AAA/Stable/IND A1+ (Assigned)
Existing Bank Facilities: IND AAA/Stable/IND A1+ (Affirmed)

Strong Market Position: 85.6 GW Capacity, 24% Generation Share

According to Ind-Ra, NTPC Group’s installed capacity stood at 85.6 GW as of December 2025, accounting for 16.67% of India’s total installed power capacity.

In FY25, NTPC maintained a dominant 24% share in India’s total power generation.

The rating reflects:

Stable cash flows under the regulated cost-plus return on equity (ROE) model
Long-term power purchase agreements (PPAs)
Strong coal linkages and captive coal production
Tripartite payment mechanism reducing receivable risks

Expansion Plans: Target of 149 GW by 2032

NTPC aims to scale total capacity to 149 GW by 2032, with 60 GW from renewable energy, making renewables nearly 40% of its portfolio.

As of December 2025:

8 GW renewable capacity operational
9.1 GW under construction

The company continues expanding through NTPC Green Energy Ltd and other subsidiaries.

Financial Snapshot

Consolidated EBITDA (9MFY26): ₹443 billion
Net Leverage (FY25): 4.26x
Interest Coverage: 4.4x
Unencumbered Cash (Sept 2025): ₹49.64 billion

However, annual capex of ₹500–600 billion is expected to keep free cash flow negative in the medium term.

Government Support and Stability

The Government of India holds a 51.1% stake in NTPC, underlining strong strategic importance. The rating also factors in NTPC’s regulated business model, healthy plant load factors (PLF), diversified fuel mix (coal, gas, hydro, renewables), and efficient operations.

Ind-Ra noted that higher-than-expected capex, regulatory changes, or sustained leverage pressure could impact ratings in the future, though the current outlook remains stable.