Archive · 24 Dec 2025
Power PSUs Consider Exiting Debt-Laden Energy Efficiency Venture
There is a company called EESL that helps India use energy more efficiently.
This company is owned by big government power companies.
EESL has been having money problems because it is owed a lot of money by states and other groups, and it has taken on a lot of debt.
Now, the owners are thinking about selling some of their shares in EESL to the public through a process called a stock market listing.
This could help EESL get more money and pay off its debts.
Some experts think investors might be interested because the company has a steady income and is backed by the government.
However, EESL has been losing money and its income has been decreasing, which could make it a risky investment.
EESL, a joint venture of NTPC, Power Finance Corp., Rural Electrification Corp., and Power Grid Corp., is considering a public listing to exit the venture.
EESL is owed over ₹4,000 crore and has a net loss of ₹459.02 crore in FY24, with total income dropping by 11% due to delays in streetlight projects.
The company's cash flow is strained due to unpaid dues from government departments and power distribution companies.
Experts believe EESL's government backing and steady income stream may attract investors despite its financial struggles.
EESL's promoters, NTPC and Power Grid, hold 39.25% shares each, with plans to offer their shares in a public listing.
- Who
- Energy Efficiency Services Ltd (EESL) and its promoters (NTPC Ltd, Power Finance Corp., Rural Electrification Corp., Power Grid Corp. of India)
- What
- Consideration of listing EESL's shares on stock exchanges to exit the venture
- When
- Currently in initial stages, with no specific timeline mentioned
- Where
- India
- Why
- To address financial stress, reduce debt, and improve cash flow
- Company
- Energy Efficiency Services Ltd (EESL)
- Owners
- NTPC Ltd, Power Finance Corp., Rural Electrification Corp., Power Grid Corp. of India
- Total Dues
- ₹4,315 crore (as of FY24)
- Net Loss (FY24)
- ₹459.02 crore
- Total Income (FY24)
- ₹1,176.79 crore
- Net Worth (as of 31 March 2024)
- ₹1,496.63 crore
- Promoters' Shareholding
- NTPC and Power Grid (39.25% each), Power Finance Corporation (11.38%), REC (10.11%)