Lok Sabha Question No. 3085 (UNSTARRED), answered on 2022-08-04
Subject: Asset Monetization of PGCIL
Ministry: POWER
Asked by: Jayadev Galla

## GOVERNMENT OF INDIA MINISTRY OF POWER LOK SABHA UNSTARRED QUESTION NO.3085

## ANSWERED ON 04.08.2022

## ASSET MONETIZATION OF PGCIL

## 3085.  SHRI JAYADEV GALLA:

Will the Minister of POWER be pleased to state:

- (a) whether the Government proposes to monetize assets of Power Grid Corporation of  India  Limited  (PGCIL)  by  creating  an  infrastructure  investment  trust  and  if  so,  the details thereof;
- (b) the details of sponsors, investment managers, project managers and the trustee of the proposed infrastructure investment trust;
- (c) the details and values of the assets that are being monetized under the proposed plan along with the details of the Special Purpose Vehicles that held these assets;
- (d) whether the draft prospectus has been prepared for the infrastructure investment trust  and  if  so,  the  details  thereof  along  with  the  date  on  which  the  details  of  the prospectus would be released;
- (e) whether the proceeds of asset monetisation would be used for fresh investments of PGCIL; and
- (f) if  so,  the  details  of  the  proposed  projects  in  which  these  proceeds  would  be invested?

## A N S W E R

## THE MINISTER OF POWER AND NEW & RENEWABLE ENERGY

(SHRI R.K. SINGH)

- (a) : Yes  Sir.    The  Government  of  India  have  granted  approval  to  Power  Grid Corporation of India Limited (PGCIL) to undertake monetization of its TBCB (Tariff Based Competitive Bidding) assets, held in Special Purpose Vehicles (SPVs) through Infrastructure Investment Trust (InvIT).
- (b) : PGCIL had set up its InvIT - POWERGRID Infrastructure Investment Trust ('PGInvIT/Trust').    PGInvIT  was  registered  by  Securities  and  Exchange  Board  of  India (SEBI) under SEBI (Infrastructure Investment Trusts) Regulations, 2014 as an Infrastructure  Investment  Trust  vide  registration  No.IN/InvIT/20-21/0016  dated  07 th January, 2021.  The details of Sponsor, Investment Managers, Project Managers and the Trustee to PGInvIT are as under:
- ·Sponsor & Project Manager: Power Grid Corporation of India Ltd.
- ·Trustee: IDBI Trusteeship Services Ltd.

........2.

·Investment Manager: POWERGRID Unchahar Transmission Ltd., PUTL (a wholly owned subsidiary of POWERGRID)

(c) : In  May  2021,  PGCIL  monetized  following  five  (05)  of  its  SPVs,  acquired through Tariff Based Competitive Bidding process, through PGInvIT:

-  POWERGRID Vizag Transmission Limited (PVTL),
-  POWERGRID Kala Amb Transmission Limited (PKATL),
-  POWERGRID Parli Transmission Limited (PPTL),
-  POWERGRID Warora Transmission Limited (PWTL) and
-  POWERGRID Jabalpur Transmission Limited (PJTL)

During FY 2021-22, PGCIL raised Rs. 8,370 Crore through monetization.  In the FY 2022-23, the target for monetization is Rs. 6,860 Crore.

(d) : In  respect  of  the  IPO  by  PGInvIT  in  May  2021,  the  Draft  Offer  Document (DOD)  was  filed  with  SEBI  on  25 th   January  2021.  The  Updated  Draft  Offer  Document (UDOD) was filed with SEBI prior to the IPO on 22 nd  April 2021 and after conclusion of the IPO process, the Final Offer Document (FOD) was filed with SEBI on 06 th  May 2021.

(e) & (f) : The proceeds from asset monetization are used to meet capital expenditure requirements of PGCIL.

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