Govt Approves Board Restructuring at NTPC Subsidiaries THDC India and NEEPCO

23 Jul 2025

The government has approved the restructuring of the boards of THDC India and NEEPCO, both subsidiaries of state-owned power major NTPC. According to an official document, the Ministry of Power (MoP) has proposed the appointment of a non-executive chairperson and the re-designation of the chairman and managing director (CMD) position to managing director (MD) on the boards of NEEPCO and THDCIL.

Following the restructuring, the CMD of NTPC will serve as the non-executive chairperson of both NEEPCO and THDCIL. The Managing Directors of THDCIL and NEEPCO will be appointed in accordance with the prevailing Department of Public Enterprises (DPE) guidelines, through the Public Enterprises Selection Board (PESB) and the Appointments Committee of the Cabinet (ACC).

According to the notification dated July 18, the positions of Director (Technical), Director (Finance), and Director (Personnel) will no longer exist at the two entities. In view of the proposed abolition of the post of Director (Finance) in NEEPCO and THDCIL, the Director (Finance) of NTPC should be present at meetings where major financial decisions delegated to the Boards of NEEPCO and THDCIL are discussed and finalised.

The company’s board will comprise two nominee directors appointed by the government/NTPC and three independent directors. The board's total membership will be reduced to seven, down from the current 14. The notification said, "With respect to the current incumbents holding board positions, the ministry may take any decisions it considers appropriate. The Ministry of Power (MoP) is requested to submit a revised proposal in accordance with the suggestions provided above."

In March 2020, NTPC announced the signing of Share Purchase Agreements with the Government of India to acquire a 74.496% equity stake in THDC India Limited (THDCIL) and 100% equity ownership of North-Eastern Electric Power Corporation Limited (NEEPCO).