NTDC secures Rs6.4bln to evacuate 1,224 MW wind power

LAHORE: The National Transmission and Despatch Company Ltd (NTDC) has secured Rs6.4 billion Financing Facility to evacuate 1,224 MW clean renewable energy generated by wind power plants located at Jhimpir Wind Corridor, a statement said on Tuesday.

The financing facility has been availed from a consortium of banks comprising Habib Bank Limited, National Bank of Pakistan, and BankIslami Pakistan Limited. The financing facility will be utilised for the construction of 220/132 kV substation and 35 km long allied transmission lines for the evacuation of clean energy. Engr Muhammad Ayub, Managing Director NTDC, signed the contract of financing facility with Asad Altaf, GM Corporate Banking Head (Central) HBL, Zia-ud-Din Tahir, Unit Head NBP (Corporate), and Amir Ashraf, Head Corporate (Central) BankIslami during a ceremony held here at WAPDA House.

Engr Muhammad Ayub, Managing Director NTDC, said for the first time his company had explored the option of raising a financial facility at its own resources (balance sheet) without government of Pakistan (GoP) guarantee.

Whereas, previously, it had relied on GoP guaranteed loans from the local market, Ayub said, adding that this financing facility would be a precursor for more funding for upcoming NTDC projects. “PC-1 cost of the Jhimpir-II project is Rs 10.753 billion and the funding required was Rs 6.40 billion. The project will have sufficient capacity to transmit more power in future.” To meet the future developments in Gharo-Jhimpir wind corridor, the 220 kV grid station would be upgraded to 500 kV capacity in coming years, he added. Deputy Managing Director NTDC Safdar Ali, Chief Financial Officer NTDC Wasim Saadat and other senior officials from NTDC and banks were also present on the occasion.