REC, PFC sign Rs 26,850 crore loan for 2,400 MW Meja Stage-II project
REC Limited and PFC Limited have signed a Common Loan Agreement with Meja Urja Nigam Private Limited (MUNPL) for Rs 26,850 crore to finance the 2,400 MW Stage-II expansion of the Meja Super Thermal Power Project in Uttar Pradesh.
The proposed Stage-II project will comprise three 800 MW ultra-supercritical units equipped with an Air Cooled Condenser (ACC) system at Meja Tehsil in Prayagraj district. The project has an estimated completion cost of Rs 38,357.81 crore.
REC is the lead financier for the project, with the Rs 26,850 crore loan being funded equally by REC and PFC. Both are Maharatna Central Public Sector Enterprises (CPSEs) under the Ministry of Power and infrastructure financing Non-Banking Financial Companies (NBFCs).
MUNPL is a 50:50 Joint Venture (JV) between NTPC Limited and Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited (UPRVUNL).
Loan agreement
The loan documents were signed in Prayagraj, Uttar Pradesh, by Srinivasa Rao Gaddamanugu, Chief Executive Officer, MUNPL; Shambhu Shankar Gupta, Chief General Manager, REC Regional Office Lucknow; and Shelly Gupta, General Manager, PFC.
The signing took place in the presence of Angshu Barua, Chief Financial Officer, MUNPL; H. K. Das, Executive Director, PFC; and D. B. Londhe, Executive Director, REC.
Stage-II expansion
The 3×800 MW Meja Super Thermal Power Project Stage-II is planned to strengthen electricity supply in Uttar Pradesh, including for residential, agricultural and industrial demand. The additional capacity is also expected to support industrial corridors, manufacturing clusters and urban expansion in the state.
The ultra-supercritical units are designed to achieve higher efficiency and lower coal consumption and emissions compared with older thermal power technologies. The use of an ACC system will form part of the Stage-II configuration.
The project is also expected to generate thousands of jobs during its construction and operational phases and support infrastructure development in Meja Tehsil of Prayagraj district.
Photo credit: REC Limited/LinkedIn
