NTPC, Tata Power fall on draft guidelines for sector

Tags: Companies
Shares of electric utilities drop after the power regulator tightened certain rules for tariffs and operations for the sector in its draft 2014-19 guidelines.

The guidelines were posted on the Central Electricity Regulatory Commission (CERC) website late on Monday.

NTPC slumps 11.34 percent, Power Grid Corp of India falls 2.9 percent, while Tata Power declines 1.5 percent.

Analysts say the guidelines tightened some operational parameters, reducing the use of financial incentives for achieving transmission and generation targets.

The guidelines also propose that some of the savings from fuel costs be partially passed on to consumers.

Analysts warn the proposals could hit returns for the companies. The rules need to be finalised by March.

Post new comment

E-mail ID will not be published
This question is for testing whether you are a human visitor and to prevent automated spam submissions.


  • Amit Shah deserved to be crowned President of India, some say

    The Bharatiya Janata Party is now firmly in the hands of Modi’s alter ego, which in plain English means ‘another side of oneself, a second self’


Stay informed on our latest news!


GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India


Arun Nigavekar

Necessary yet inadequate boost to education

The finance minister, in the very first minutes of his ...

Zehra Naqvi

We must overcome the fear of death

It is the biggest irony that the only thing that’s ...

Dharmendra Khandal

Jawai leopards and locals can coexist peacefully

At first glance, the Jawai landscape seems like a large ...


William D. Green

Chairman & CEO, Accenture