NTPC Secures Rs 1,650 Crore Funding Deal with Japan's JBIC

28 Mar, 2024

NTPC Secures Rs 1,650 Crore Funding Deal with Japan's JBIC

State-owned power giant NTPC has announced a significant agreement with a Japanese agency, securing foreign currency loans amounting to USD 200 million (JPY 30 billion or approximately Rs 1,650 crore). The Japan Bank for International Cooperation (JBIC), a government policy-based financial institution, will furnish 60% of the total facility amount, with the remaining portion to be provided by other commercial banks under JBIC's guarantee.

This funding initiative falls under JBIC's "Global action for Reconciling Economic growth and Environment preservation" (GREEN) program, designed to support projects aimed at environmental conservation. NTPC intends to allocate the loan towards financing a portion of its capital expenditure requirements for Flue Gas Desulphurization (FGD) technology. FGD plays a crucial role in mitigating SOx emissions from thermal power stations, aligning with NTPC's commitment to environmental sustainability.

Notably, this marks the second loan extended to NTPC under JBIC's GREEN operations in India, highlighting the continued collaboration between the two entities. Furthermore, the loan proceeds are slated to support NREL's capital expenditure for renewable energy projects, aligning with its mission to deliver reliable, affordable, and sustainable energy solutions. This partnership underscores the joint efforts towards advancing clean energy initiatives and fostering environmental stewardship.