Minister of State for Power Mr KC Venugopal informed the Rajya Sabha that the Working Group on Power for formulation of the 12th Five Year Plan has estimated total fund requirement of INR 13,72,580 crore for the power sector. The details are as under:
Generation - INR 638,600 crore
Transmission - INR 180,000 crore
Distribution - INR 306,235 crore
Others* - INR 247,745 crore
Total - INR 1,372,580 crore
*Others include R&M, R&D, DSM&EE, HRD &Training, Renewable Energy & Captive etc.
The National Electricity Fund (Interest Subsidy Scheme) has been approved by Cabinet Committee on Economic Affairs in its meeting held on December 13th 2011 to provide interest subsidy aggregating to INR 8,466 crore on loan disbursement amounting to INR 25,000 crore to the State Power Utilities both in the public and private sectors, to improve the distribution network.
Rural Electrification Corporation is the Nodal Agency to operationalize the scheme through which funds for interest subsidy scheme would be provided, under the guidance of the Steering Committee formed for National Electricity Fund Scheme.
During the Twelfth Five Year Plan, the main sources of financing are commercial banks, public financial institutions, dedicated infrastructure/power finance institutions, insurance companies, overseas markets, bilateral/multilateral credit, bond markets and equity markets. In addition, steps have been taken by Government to make available funds through Credit Enhancement Schemes and Infrastructure Debt Fund etc.
Source - PIB
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