India's largest power company National Thermal Power Corp Ltd. (NTPC), Asian Development Bank (ADB), GE Energy Financial Services, Kyushu Electric Power Co and Brookfield Renewable Power have jointly signed a Memorandum of Understanding (MoU) on Tuesday, to form a joint venture company for generating renewable power.

The new company will set up greenfield and develop under-utilized projects to meet its target of 500 MW of renewable power generation in the next three years.  Initially, the company would concentrate on wind power, mini and micro-hydro electric power.

Under the arrangement, NTPC would hold a 40% stake in the company while the remaining would be equally shared by other entities.

Further, NTPC will also nominate the chairman of the joint venture company.