On Wednesday, the Maharashtra cabinet approved two solar power projects which will be established by Maharashtra State Power Generation Corporation Ltd (Mahagenco). In addition to this, they also accepted rearing funds for the projects which are 187 Megawatt (MW) and 390 (MW).
An official from the state secretariat, based on the report by the Times of India elaborated that the cabinet acceptance will drive solar power projects, considering that climate change is coming into the limelight, with which there is the requirement to curtail the reliance on non-renewable energy sources.
The expenditure agreement for the 187MW project was sanctioned with a loan of nearly Rs 588.21cr to be taken from Germany’s KFW-Bank. On behalf of the state government, these projects agreement was endorsed, in cognizance of the central government and authorization of the finance department.
On Engineering-Procurement and construction basis, the project will be instituted. In addition to this, Rs 158.29 was also approved by the cabinet for the project utilizing internal mediums as well as loans from financial establishments.
Likewise, for the 390MW project, a Rs 1564.22cr loan at an interest of 0.05% per year was sanctioned from Germany’s KFW Bank.
Within a maximum of 12 years, the repayment of the loan has been accepted. Apart from the loan, an estimated Rs 364.18 in the shape of capital was also accepted from internal sources and loans from financial establishments.
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