NTPC started its foray in Renewable Energy in 2004 through Distributed Generation projects for remote villages for which grid supply was either technically not feasible or commercially not viable.

On announcement of National Solar Mission by Government of India in 2010, NTPC envisaged for a Solar project in Megawatt scale and implemented eight Solar Projects totalling 105 MW by FY 2015-16 and one Wind Project of 50 MW.

To take up bigger Solar Projects under competitive bidding regime and implement in a short period of time, it was envisaged that a separate company can be formed exclusively for Renewable Energy Business.

On 9th of May 2020 in the 483rd Board meeting of NTPC, approval for formation of new subsidiary was accorded and on 7th October 2020, NTPC Renewable Energy Limited was registered with registrar of companies.