The Aryavarth Express
Agency (New Delhi): REC Limited, a ‘Maharatna’ Central Public Sector Enterprise under the Ministry of Power and a leading Non-Banking Financial Company (NBFC), has signed agreements worth ₹588 crores with Damodar Valley Corporation (DVC) to bolster infrastructure and energy projects in the Damodar Valley region. These agreements, encompassing a Term Loan agreement, an Escrow agreement, and Hypothecation deeds, are geared towards the development of tubed coal mines.
The agreement was formalized by Shri Santosh Kumar Sahu, Senior Chief Project Manager of REC Regional Office, Kolkata, and Shri Durgesh Maity, Senior General Manager (Finance) of DVC, in the presence of Chairman and Managing Director of DVC, Shri S. Suresh Kumar, and members of DVC’s technical, finance, and administrative teams.
These agreements represent a collaborative effort between REC and DVC, focusing on sustainable development and resource optimization for community benefit. Both organizations are committed to promoting innovation, efficiency, and excellence in the energy sector, striving for positive change and prosperity for all stakeholders.
DVC, a public sector undertaking under the Union Ministry of Power, specializes in power generation and transmission, serving the energy requirements of the eastern region of India. REC, a ‘Maharatna’ CPSE under the Ministry of Power and registered as an NBFC and Infrastructure Financing Company (IFC) with the RBI, finances various aspects of the power-infrastructure sector, including generation, transmission, distribution, renewable energy, and emerging technologies like electric vehicles, battery storage, and green hydrogen projects. REC has also expanded into non-power infrastructure areas such as roads, expressways, metro rail, airports, and social and commercial infrastructure.
REC Ltd. offers loans for infrastructure asset creation to state, central, and private companies. It plays a strategic role in the government’s flagship power sector schemes, acting as a nodal agency for initiatives like SAUBHAGAYA, DDUGJY, NEF Scheme, and RDSS. As of December 31, 2023, REC’s loan book stands at ₹4.97 lakh crores, with a net worth of ₹64,787 crores.