The State government and AP Genco were relieved on Thursday when the Power Finance Corporation India (PFCI) Chairman and Managing Director Satnam Singh offered Rs.13,000 crore assistance to implement Genco's three upcoming projects taken up at a total cost of Rs.16,600 crore.

Mr. Satnam Singh, who came here on the request of Chief Minister N. Kiran Kumar Reddy for discussions on these projects, also agreed to consider the plea to reduce the interest rates from 12.5 per cent to 11 per cent.

D. Prabhakar Rao, JMD, AP Genco, who was present during the discussions, said the loan would meet 80 per cent of the cost of the projects.

The three projects were expansion of units of Vijayawada, Kothagudem and Krishnapatnam thermal power stations taken up at a cost of Rs.4,330 crore each with an installed capacity of 800 MW each, and the 960 MW hydroelectric station being implemented at an expenditure of Rs. 3,700 crore as part of mega irrigation project of Polavaram.

He said the detailed projects for all the projects had been already prepared. The first unit out of the two units of Krishnapatnam project being implemented presently each with 800 MW capacity, would be ready by March next.

Mr. Satnam Singh handed over cheque for Rs.3.60 crore to the Chief Minister as his undertaking's contribution towards construction of 400 houses at Rajole village in Waddepalli mandal of Mahabubnagar district as part of its corporate social responsibility.

AP Genco offered to contribute Rs.5 crore.

Offers Rs.13,000 crore assistance to implement Genco's three upcoming projects