Lok Sabha Question No. 431 (UNSTARRED), answered on 2022-02-03
Subject: Pumped Storage Projects
Ministry: POWER
Asked by: Uttam Kumar Nalamada Reddy

## GOVERNMENT OF INDIA MINISTRY OF POWER LOK SABHA UNSTARRED QUESTION NO.431

## ANSWERED ON 03.02.2022

## PUMPED STORAGE PROJECTS

## 431.   SHRI UTTAM KUMAR REDDY NALAMADA:

Will the Minister of POWER be pleased to state:

- (a) the quantum of funds sanctioned and disbursed by the Power Finance Corporation (PFC) to private companies for pumped storage projects;
- (b) whether the pumped storage project technology being used by the above private companies has been proven elsewhere and if so, the details thereof;
- (c) the securities sought from the promoters for the said projects considering that the technology used may have not been proven elsewhere;
- (d) the debt-equity ratio for the said projects;
- (e) the  financial  background,  strength  and  experience  of  the  borrowing  companies involved therein; and
- (f) the physical progress on the ground for the said projects?

## A N S W E R

## THE MINISTER OF POWER AND NEW & RENEWABLE ENERGY

(SHRI R.K. SINGH)

- (a) : PFC has sanctioned loan of Rs. 5429 crore to Greenko AP01 IREP Pvt. Ltd. However,  PFC  has  not  disbursed  any  funds  to  the  project  so  far,  as  few  clearances including  final  clearance  from  Central  Electricity  Authority  (CEA)  and  part  Forest Clearance for Stage- II are yet to be obtained and the land is yet to be fully acquired.

(b) & (c) : The Pumped Storage Project (PSP) technology is already existing in India with  many operational PSPs viz. Purulia PSP (900 MW) in West Bengal, Srisailam PSP (900  MW) in  Telangana,  NJ  Sagar  PSP  (706.5  MW)  in  Telangana  and  Kadamparai  PSP (400 MW) in Tamil Nadu etc. Further, the PSPs are concurred by CEA under section 8 of the  Electricity  Act,  2003  after  examining  the  DPRs  and  taking  into  consideration  the technology  available  in  the  sector.  For  the  instant  project,  the  security  stipulations include first holder charge on all movable and immovable assets, 100% pledge of shares which  shall  be  gradually  released  based  on  achievement  of  certain  milestones  and Corporate Guarantee of Greenko Energy Private Limited throughout the currency of PFC loan  and  Corporate  Guarantee  of  Greenko  Mauritius  till  3  years  from  the  date  of completion of project.

........2.

(d) : The Debt:Equity ratio of the project is 72:28.

(e) : The  project  is  promoted  by  Greenko  Group  through  its  Indian  Holding Company Greenko Energy Private Limited (GEPL), which is ultimately held by Greenko Energy Holding (GEH).

The  majority  shareholding  of  GEH  is  owned  by  GIC  Private  Limited, formerly known as Government of Singapore Investment Corporation (GIC) (~56%), Abu Dhabi Investment Authority (ADIA) (~14%) , Orix (~22%) and balance is held by Group founders  Mr.  Mahesh  Kolli  &  Mr.  Anil  Kumar  Chalamalasetty  (~9%)  through  group companies.

Greenko  Group  has  a  current  operational  capacity  of  ~5.3  GW  spanning across  solar  (28.71%),  wind  (58.94%),  hydel  (10.89%)  and  biomass  energy  (1.46%) projects.  Greenko  also  has  an  additional  ~30%  investment  in  1.2  GW  Teesta  Hydro project  with  the  remaining  majority  stake  resting  with  Govt.  of  Sikkim.  Promoter Company for the project (GEPL) has been rated as A+ by Credit Analysis & Research Ltd. (CARE).

(f) : About 21% of the project has been completed. Works on powerhouse and penstock  is  being  undertaken.    CEA  has  allowed  construction  pending  TEC  (TechnoEconomic Clearance) at developers cost and risks.

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