LAHORE: The National Transmission and Despatch Company Ltd (NTDC) has secured Rs6.4 billion financing facility from consortium of banks (Habib Bank Limited, National Bank of Pakistan & Bank Islami Pakistan Limited).
The financing facility will be utilized for the construction of 220 /132 kV substation and 35 km long allied transmission lines to evacuate 1224 MW clean renewable energy generated by wind power plants located at Jhimpir Wind Corridor.
Managing Director NTDC Engr Muhammad Ayub signed the contract of financing facility with Asad Altaf GM Corporate Banking Head (Central) HBL, Zia-ud-Din Tahir Unit Head NBP (Corporate) and Amir Ashraf Head Corporate (Central) BankIslami during a signing ceremony held at WAPDA House Lahore on Tuesday.
Managing Director NTDC said that for the first time NTDC has explored an option of raising a financial facility on its own resources (balance sheet) without GOP guarantee. Whereas, previously, it relied on GoP guaranteed loans from local markets. This financing facility would be a precursor for more funding for upcoming NTDC projects.
He furthered said that PC-1 cost of the Jhimpir-II project is Rs10.753 billion and the funding required was Rs6.40 billion. The project will have sufficient capacity to transmit more power in future. To meet the future developments in Gharo-Jhimpir wind corridor, the 220 kV grid station will be upgraded to 500 kV capacity in coming years.
Deputy Managing Director NTDC Mr. Safdar Ali, Chief Financial Officer NTDC Mr. Wasim Saadat and other senior officials from NTDC and Banks were also present on the occasion.