Ministry Of Finance Grants Navratna Status To SECI, NHPC And SJVN

Ministry Of Finance Grants Navratna Status To SECI, NHPC And SJVN

In a significant indicator of their growing stature and performance, the Ministry of Finance recently conferred ‘Navratna’ status to three Central Public Sector Enterprises (CPSE) namely, Solar Energy Corporation of India (SECI), National Hydroelectric Power Corporation (NHPC), and SJVN to develop and expand Renewable Energy (RE) capacity in India under the Ministry of New and Renewable Energy (MNRE). 

Granted on 30th August, the Navratna status to the two hydropower focused Central Public Sector Undertakings (CPSUs) i.e., NHPC, and SJVN means greater operational and financial autonomy. Power and MNRE minister Manohar Lal Khattar remarked, “This is a significant moment for the country as the hydro CPSUs like NHPC and SJVNL are playing a pivotal role in harnessing hydropower potential, leading to powering the country while limiting greenhouse gases and other pollutants.”

For SECI the enhanced autonomy in financial and operational matters will accelerate the company’s growth path through better agility, improved geographical presence, and technology focus. This is yet another marker of the Government’s focus on India’s transition towards sustainable energy.

Currently, SECI, with a cumulative awarded generation capacity of 69.25 GW and an annual power trading volume exceeding 42 billion units, is one of the foremost Renewable Energy Implementing Agency (REIA) in India with continuously working towards fulfilling climate goals and striving for sustainable development.

Completing its 13 years of incorporation, SECI is a leading CPSE dedicated to the development and expansion of Renewable Energy (RE) capacity in India with a cumulative generation awarded capacity of 69.25 GW and an annual power trading volume upwards of 42 Billion Units. SECI is the foremost Renewable Energy Implementing Agency (REIA) of India .

SECI, in the Financial Year 2023-24 has posted a consolidated annual turnover of Rs. 13,118.68 crore registering an increase of 20.85% over the previous year, and Profit After Tax (PAT) of Rs 510.92 Crore registering a growth of 34.89%.

Currently, NHPC and SJVNL have total installed capacities of 7,144 MW and 2,467 MW, respectively. These companies are presently engaged in the construction of projects aggregating 10,443 MW by NHPC and 4,836 MW by SJVNL. SJVN in particular in recent years has pivoted to solar and wind energy as well, and is targeting 20,000 MW capacity by 2030.

Criteria To Achieve Navratna Status

As per the eligibility criteria laid down by the government for granting Navratna status to Central Public Sector Enterprises (CPSEs), CPSEs that are Miniratna I, Schedule ‘A,’ and have obtained ‘excellent’ or ‘very good’ MOU ratings in three of the last five years, and have a composite score of 60 or above in the following six selected performance indicators, are eligible to be considered for Navratna status.

Classification as a Navratna CPSE enables SECI to gain enhanced autonomy in financial and operational matters, which will accelerate the company’s growth path through better agility, improved geographical presence, and a stronger focus on technology. This is yet another marker of the government’s focus on India’s transition towards sustainable energy.

This status supports major capital expenditure (CAPEX) decisions and investment plans can be taken faster at board level. With the newly conferred powers, NHPC and SJVNL will have the autonomy to establish joint ventures overseas, access new markets, and leverage local expertise. Furthermore, it will foster innovation through technological alliances, strengthen market positioning, and facilitate mergers and acquisitions, leading to growth with an increased market share.

Currently, there are approximately 21 Navratna CPSEs, which are listed below:

1. Bharat Electronics Limited
2. Container Corporation of India Limited
3. Engineers India Limited
4. Hindustan Aeronautics Limited
5. Mahanagar Telephone Nigam Limited
6. National Aluminium Company Limited
7. National Buildings Construction Corporation Limited
8. Neyveli Lignite Corporation Limited
9. NMDC Limited
10. Rashtriya Ispat Nigam Limited
11. Shipping Corporation of India Limited
12. Rail Vikas Nigam Limited
13. ONGC Videsh Ltd
14. Rashtriya Chemicals & Fertilizers Limited
15. IRCON
16. RITES

17. National Fertilizers Limited
18. Central Warehousing Corporation
19. Housing & Urban Development Corporation Limited
20. Indian Renewable Energy Development Agency Limited
21. Mazagon Dock Shipbuilders Limited