We want to finance N-projects, says PFC

The Power Finance Corporation of India Ltd (PFC) says it would be willing to finance even nuclear power projects in future.

india Updated: Mar 12, 2006 15:53 IST

Smelling opportunity in the Indo-US nuclear deal, the Power Finance Corporation of India Ltd (PFC) says it would be willing to finance even nuclear power projects in future.

"We would certainly want to finance nuclear projects, just as we are currently funding hydel and thermal projects across the country," PFC chief VK Garg said.

India and the US agreed on a breakthrough civil nuclear deal on March 2 during President George Bush's visit, opening new avenues for accessing nuclear technology and fuel for New Delhi provided the Congress okays it.

Garg was in Shimla for a PFC meeting with state power utility chiefs and borrowers from across the country.

"The meeting had an in-depth interaction on a wide range of issues, including existing bottlenecks in improving state power utilities' performance and the PFC's role in mitigating such problems," the PFC chief said.

"We will soon launch an IPO (initial public offer) of Rs 1.50 billion with 10 per cent fresh equity infusion from PFC and 5 per cent equity of the central government," he said.

"PFC now figures among the top ten public sector units. The company has been made the nodal agency for setting up five ultra mega power projects, each having a capacity of 4,000 MW and involving an investment of Rs 800 billion," Garg said.

"In the current financial year we have already financed Rs 220 billion till date, and in the next six years we aim to become a Rs 500 billion annual disbursement company," Garg said.

First Published: Mar 12, 2006 15:53 IST