Green Energy Corridors loans

#KfW Germany is providing a soft loan of Euro 1 billion for renewable energy projects under government-to-government framework, #Union Minister for State for Power, Coal, New & Renewable Energy and Mines, Piyush Goyal told Lok Sabha on Dec 15, 2016.

The loan would partly facilitate integration of large scale renewable generation capacity addition, a comprehensive scheme including Intra-State and Inter-State transmission system has been identified as a part of #Green Energy Corridors.

Intra-State Transmission System is being implemented by respective State Transmission Utilities (STU) and Inter-State Transmission System is being implemented by Power Grid Corporation of India Ltd. (PGCIL), he said.

Intra State transmission schemes under Green Energy Corridors (GEC) are to be funded as 20 per cent equity of the State Government, 40 per cent grant from National Clean Energy Fund (NCEF) and 40 per cent soft loan. The inter State transmission schemes are to be funded as 30 per cent equity by PGCIL and 70 per cent as soft loan, he added.

For Inter-state transmission projects pertaining to Part A, B and C of Green Energy Corridor, loan agreement for financial assistance of Euro 500 million from KfW, Germany has been signed by PGCIL.

The projects are likely to be completed by 2018.

Further, for implementation of transmission schemes under Green Energy Corridor-Part D, PGCIL has taken loan from #Asian Development Bank.

For Intra-state transmission projects under Green Energy Corridor; the States of #Tamil Nadu, #Rajasthan, #Himachal Pradesh, #Andhra Pradesh, #Gujarat and #Madhya Pradesh have signed the loan agreements from KfW for financial assistance of Euro 76 million, Euro 49 million, Euro 57 million, Euro 68 million, Euro 114 million and Euro 124 million, respectively.

In order to integrate solar parks with the grid, Ministry of Power assigned PGCIL to implement Inter-State transmission scheme for evacuation from 8 solar parks (7200 MW), he said.

Transmission scheme for 6 solar parks (5750 MW) is already under implementation [Ananthapuram (1500 MW), Pavagada (2000 MW), Rewa (750 MW), Bhadla-III (500 MW), Bhadla-IV (250 MW), Essel Saurya (750 MW)]. Tender issued for Banaskantha Solar Park (700 MW), whereas Long Term Access (LTA) application for other MP solar park from the developer is awaited.

To evacuate power from the renewable capacity addition in renewable rich States (Andhra Pradesh, Gujarat, Himachal Pradesh, Karnataka, Maharashtra, Rajasthan, Madhya Pradesh and Tamil Nadu), transmission system strengthening, both Intra State and Inter State, along with setting up of Renewable Energy Management Centre (REMC) and the control infrastructure is being implemented under GEC phases. fii-news.com