Powergrid will issue bonds to raise up to Rs 9 billion
Powergrid will issue bonds to raise up to Rs 9 billion
POWER & RENEWABLE ENERGY

Powergrid will issue bonds to raise up to Rs 9 billion

The Power Grid Corporation of India (Powergrid) board has given the go-ahead to raise unsecured, non-convertible, non-cumulative, redeemable, and taxable bonds through a private placement for Rs 9 billion.

Up until the financial year (FY) 2033, the funds will be raised by securitising the cash flows of its special purpose entity, Powergrid Mithilanchal Transmission.

The greenshoe option will cost Rs 6 billion, while the base issue amount of the bonds will be Rs 3 billion. The interest on the bonds will be paid quarterly, and they will be redeemable at par in 40 equal payments.

Around 86% of the nation's inter-regional networks are run by government-owned Powergrid, India's largest electric power transmission company.

With India establishing an ambitious goal of constructing 500 GW of non-fossil fuel capacity by 2030, integrating renewables into the national grid together with conventional sources of energy is a vital component of the country's energy transition agenda.

R K Singh,Union Power Minister, revealed a detailed plan to shut down the 500 GW of planned renewable power capacity by 2030 at a projected cost of Rs 2.44 trillion last December.

Also read:
Ahmedabad leads the way in solar energy use with 34,794 users
2,000 MW renewable energy projects to be developed by Onix Group in UP


The Power Grid Corporation of India (Powergrid) board has given the go-ahead to raise unsecured, non-convertible, non-cumulative, redeemable, and taxable bonds through a private placement for Rs 9 billion. Up until the financial year (FY) 2033, the funds will be raised by securitising the cash flows of its special purpose entity, Powergrid Mithilanchal Transmission. The greenshoe option will cost Rs 6 billion, while the base issue amount of the bonds will be Rs 3 billion. The interest on the bonds will be paid quarterly, and they will be redeemable at par in 40 equal payments. Around 86% of the nation's inter-regional networks are run by government-owned Powergrid, India's largest electric power transmission company. With India establishing an ambitious goal of constructing 500 GW of non-fossil fuel capacity by 2030, integrating renewables into the national grid together with conventional sources of energy is a vital component of the country's energy transition agenda. R K Singh,Union Power Minister, revealed a detailed plan to shut down the 500 GW of planned renewable power capacity by 2030 at a projected cost of Rs 2.44 trillion last December. Also read: Ahmedabad leads the way in solar energy use with 34,794 users 2,000 MW renewable energy projects to be developed by Onix Group in UP

Next Story
Infrastructure Urban

Global Rare Earth Supply Chains Diversify Away from China

In response to the rising global demand for rare earths critical for producing everything from electric vehicles to wind turbines, supply chains are undergoing a significant realignment away from China. Historically dominant in rare earth production, China's recent policies and geopolitical tensions have prompted Western nations and other stakeholders to seek alternative sources and bolster local capabilities. Rare earth processing involves two essential stages: initial extraction and subsequent refining into individual oxide compounds used to manufacture magnets essential in various industri..

Next Story
Infrastructure Urban

Coal India, US Firm to Explore Argentine Lithium

State-run Coal India Ltd is collaborating with a US company to explore lithium blocks in Argentina, a critical step in securing supplies of the essential battery material, according to an Indian source with direct knowledge of the matter. This initiative is part of India's participation in the US-led Minerals Security Partnership (MSP), which New Delhi joined last year to ensure a steady supply of minerals necessary to meet its zero-carbon objectives. As part of the MSP, India was invited to engage in 20-25 critical minerals projects, with four already identified by the Indian government. Indi..

Next Story
Infrastructure Energy

India's Coal Consumption Set to Surge Amid Hydroelectricity Shortfall

Amid a significant drop in hydroelectricity production caused by inadequate rainfall, India is gearing up to increase its coal consumption to satisfy rising power demands, according to S&P Global Commodity Insights. This shortfall in hydroelectric power is anticipated to perpetuate India's reliance on coal imports. During the fiscal year 2023-24, India's coal production approached the 1 billion metric ton milestone, reflecting the government's strategy to lessen dependency on imported coal. Nonetheless, the country has already imported approximately 85 million metric tons of thermal coal in 20..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000

Join us Telegram