The loan proceeds to be utilized by NTPC for funding its capex for Flue Gas Desulphurization (FGD) & Renewable Energy projects
New Delhi: NTPC Ltd., India’s largest power producer, today entered into a JPY 50 billion (approx. USD 482 million or Rs. 3,582 crore) foreign currency loan agreement with Japanese Government’s financial institution- Japan Bank for International Co-operation (JBIC), under the latter’s GREEN (Global Action for Reconciling Economic growth and Environment) preservation initiative.
This is the first such funding for NTPC Ltd. under the Japanese initiative. . Following the agreement, JBIC will provide 60% of the facility amount and the balance will be given by commercial banks (viz., Sumitomo Mitsui Banking Corporation, the Bank of Yokohama Ltd., the San-In Godo Bank Ltd., the Joyo Bank Ltd. and The Nanto Bank Ltd.), under JBIC guarantee.
The facility is extended under JBIC’s outreach for projects, which ensure conservation of global environment. The loan proceeds will be utilized by NTPC Ltd, the PSU under Ministry of Power, for funding its capex for Flue Gas Desulphurization (FGD) & Renewable Energy projects. FGD, substantially reduces the SOx emission in the flue gases of thermal power plants and is a critical step towards environmental sustainability.
The loan agreement was signed by Anil Kumar Gautam, Director (Finance), NTPC and Tanimoto Masayuki, Managing Executive Officer, Global Head of Infrastructure & Environment Finance Group, JBIC through video conferencing.
– globalbihari bureau
