REC disburses Rs 16,070 cr to Telangana Power Plant

Rural Electrification Corporation (REC) has disbursed a Rs 16,070-crore loan to Telangana for construction of 4,000 MW Yadadri power plant, the Power Ministry said today.
REC CMD Rajeev Sharma handed over the cheque to Telangana Chief Minister K Chandrasekhar Rao yesterday, the Ministry said in a release.
The credit support is given to Telangana State Power Generation Corporation Ltd (TSGENCO) for setting up an ultra mega power project of capacity with 5x800 MW at Yadadri, it added.
The disbursement is the highest ever extended by REC in a single installment, it said.
Earlier, REC, a Navratna PSU, had signed an MoU with TSGENCO in February for providing the financial assistance to the extent of Rs 20,000 crore, it said.

This was to facilitate Telngana's ambitious programme of developing thermal power projects during 12th plan for capacity addition of about 4,000 MW, it added.
REC will continue to play a leading role among the development partners active in Telangana's power sector development.
REC provides loan assistance to SEBs/State Power Utilities for investments in rural electrification schemes.