Power Finance Corporation (PFC) has signed a loan agreement worth EUR 150 million with Germany’s KfW to finance projects under the Government of India’s Revamped Distribution Sector Scheme (RDSS).

The funding will support initiatives aimed at improving the operational and financial efficiency of power distribution companies across the country.

Parminder Chopra, CMD, PFC, said, “PFC has been at the forefront of financing and enabling reforms in India’s power distribution sector. This new line of credit will help in realising Government’s vision of ensuring reliable, affordable, and sustainable power supply to consumers across the country. We also look forward to working with KfW in new and emerging areas, especially renewables and clean energy, thereby advancing India’s energy transition.”

The agreement builds on the longstanding energy cooperation between India and Germany. PFC and KfW have previously collaborated on several projects in the distribution sector. This new facility is expected to further strengthen bilateral ties and contribute to the shared goal of advancing clean energy and accelerating energy transition.

News source: Energetica India