The Power Finance Corporation (PFC) and the Nuclear Corporation of India Ltd. (NPCIL) have entered into a memorandum of understanding (MoU) to facilitate NPCIL to set up nuclear power projects. The MoU was signed in New Delhi on Thursday by PFC Chairman and Managing Director Satnam Singh and NPCIL Chairman and Managing Director S. K. Jain.

Under the MoU, PFC plans to offer debt financing, equity financing and consultancy services to NPCIL to facilitate the latter's large capacity addition programme. While PFC is a leading financier in the electricity sector, NPCIL is the only player operating nuclear power reactors in the country.

NPCIL now operates 19 nuclear electricity reactors in the country with an installed capacity of 4,560 MWe. Three reactors, with a total capacity of 2,220 MWe, are in an advanced stage of construction. They are two units of 1,000 MWe each from Russia under construction at Kudankulam in Tamil Nadu and an indigenous pressurised heavy water reactor (PHWR) of 220 MWe at Kaiga in Karnataka. In addition, excavation is under way for 700 MWe indigenous PHWRs, two each at Kakrapar in Gujarat and Rawatbhatta in Rajasthan. The NPCIL's installed capacity will reach 9,580 MWe by 2017, 20,000 MWe by 2020 and 60,000 MWe by 2032, says a press release from NPCIL.

PFC's asset base, cumulative loan sanctions and disbursements as on June 30, 2010 stand at Rs.85,597 crore, Rs.2,88,932 crore and Rs.1,47,056 crore, respectively, says the release.

More In: Business | Companies