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Power Grid mulls more external funding for projects

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Press Trust of India Hyderabad
Last Updated : Jan 19 2013 | 10:59 PM IST

In backdrop of global meltdown, public sector power infrastructure major Power Grid Corporation is considering to have more external funding, including from multilateral lending agencies, for implementing its projects proposed in the 11th Five-Year Plan.

"We would prefer, in this scenario, to take more external funding," Power Grid Corporation Executive Director I C Jaiswal said today, referring to World Bank (WB) and Asian Development Bank (ADB) funding to various projects.

"We are now going ahead with the World Bank loan as per our original plan," he added.

Speaking to reporters on the sidelines of a workshop on 'Environmental and Social Safeguards', Jaiswal said the company had targeted to undertake Rs 55,000 crore ($12 billion) worth of projects during the 11th Plan (2007-12).

"We have already tied up funding for about 30-35 per cent of works with WB and ADB," he added.

For instance, the company had obtained $850 million towards the first and the second round of funding from World Bank and expected to get a third loan of $500 million soon.

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Besides, the corporation had recently signed a loan agreement for $600 million and was in the process of signing for additional $400 million, Jaiswal said.

ADB is also extending a loan of $600 million to the corporation, he added.

The corporation had identified various transmission projects for evacuating power from the existing and new power plants across the country, Jaiswal said.

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First Published: Nov 21 2008 | 5:24 PM IST

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