ADB approves $59.1 million for Himachal Power Corp Projects
Shimla: As part of $ 800 loan facility being extended by Asian Development Bank (ADB) for clean energy development program in Himachal, the bank would soon release the second tranche of $ 59.1 million soon, a top official disclosed on Sunday.
Tarun Kapoor, managing director of HP Power Corporation Ltd (HPPCL) said that an agreement between the corporation and ADB for release of the second loan installment was signed in Delhi on Friday. The corporation has already availed $ 150 million ADB loan as the first installment.
HPPCL, a state power generating PSU that is executing projects with 1000 MW generation capacity, would be using the ADB loan for four hydropower project under construction which include Sawara-Kuddu (111 MW) in Shimla district, Kashang (195 MW) and Shongtong-Karchham (402 MW) in Kinnaur district and Sainj (100 MW) in Kullu district.
ADB releases loan as a multi-tranche financing facility, which depend entirely upon progress made on the ground ,” said Kapoor. The loan has a 25-year repayment period.
Work on all fours projects was steadily progressing and the target date for completion was 2015. Other than these projects, HPPCL is also to execute the prestigious Renuka Dam project, which would provide much needed water for Delhi. The Rs 2700 crore dam project would also generate 40 MW of power that would go into the corporation’s kitty.