The NTPC's plan to spend around Rs 9,600 crore to revive its old power plants might help revive the ailing power equipment sector as well. NTPC plans to improve the falling plant load factors (PLFs) of seven power plants that are more than 25 years old.
This is part of the plan to extend the life of three coal-based and four gas-based power plants. The total capacity of these plants is around 5,000 MW. The company had helped some non-NTPC power plants increase their PLFs.
According to the company, around 70 per cent of the intended budget will go into equipment ordering. These orders will help the power equipment sector, which has been waiting for orders for a long time.