In a major boost to the Telangana government’s plans to create new power generation capacity, the Power Finance Corporation has agreed to extend ₹4,009-crore financial assistance to the fifth phase of Yadadri Ultra Mega Thermal Power Plant.
Following this, the 4,000 MW Yadadri power plant has achieved financial closure for the entire plant.
Rajiv Sharma, Chairman and Managing Director of Power Finance Corporation, on Friday handed over a letter to TS Genco CMD D Prabhakar Rao at Vidyut Soudha, agreeing to finance the fifth phase of the project.
The Yadadri power plant is being set up in Damaracherla with five units of 800 MWs with the supercritical technology. The funding of about ₹16,950 crore needed for the first four plants has already been agreed to by the Rural Electrification Corporation (REC).
Now, Power Finance Corporation has agreed to fund the fifth unit. With this fresh loan commitment, the Power Finance Corporation will have extended funding of ₹28,210 crore to the TS Transco, Genco and Discoms.
The Corporation has so far extended a total amount of ₹16,156 crore to the State power utilities.
Thanking the PFC for its continued support to the State, Prabhakar Rao said the Yadadri power plant would be crucial for the irrigation projects and supply of 24x7 quality power to the farm sector.
All the necessary permissions are now in place for the mega project.