The Power Finance Corporation (PFC) plays a key role in India’s clean energy financing by supporting renewable energy (RE), e-mobility, energy efficiency, and sustainable infrastructure.

Key Achievements in Renewable Energy Financing:

• ₹1 lakh crore disbursed for RE projects.
• ₹60,208 crore RE loan book with a 16% CAGR over five years.
• ₹2.37 lakh crore MoUs signed for clean energy projects.
• 50 GW RE capacity financed, accounting for 25% of India’s total non-fossil fuel capacity.

Green Financing & Global Collaborations

Domestic Financing for Clean Energy:

• PFC provides low-interest loans (1.0-1.5% lower than conventional power projects) to accelerate clean energy adoption.
• Dedicated financing for solar, wind, hydro, energy efficiency, and e-mobility projects.
• Streamlined approval processes with web-based loan applications & standard documents for solar projects.

International Green Finance Initiatives:

PFC has successfully raised green finance through bonds, credit lines, and partnerships with global institutions:

• Euro Green Bond (€300 Mn, 2021) – First Euro-denominated green bond from India.
• USD Green Bond ($400 Mn, 2017) – Listed on London & Singapore stock exchanges.
• Japan Bank for International Cooperation (JBIC) Credit Line (JPY 30 Bn, 2022) under the GREEN initiative.
• MoU with Japan’s NEDO for technology innovation in power voltage transformers & optimized energy distribution.
• MoU with USAID’s SAREP program for ESG framework & capacity building.
• MoU with Council on Energy, Environment, and Water (CEEW) to support offshore wind, battery storage, green hydrogen, and CCUS.
• MoU with Govt. of Goa & World Bank to create a Blended Finance Facility for renewable energy, green hydrogen, EVs, and nature-based solutions.

Major Sustainable Development Projects

1. a) E-Mobility Financing

• ₹633 crore loan sanctioned to Gensol Engineering Ltd. for 5,000 electric four-wheelers and 1,000 electric three-wheelers.
• BluSmart Mobility to deploy these vehicles for ride-hailing and urban delivery.
• Estimated impact:
  • 1,500+ million km driven by EVs.
  • 1.13 lakh tonnes CO₂ emission reduction, equivalent to CO₂ absorbed by 51.5 lakh trees annually.

1. b) Energy Efficiency – LED Streetlighting in Maharashtra

• ₹35 crore project in Sangli, Miraj, and Kupwad to replace streetlights with smart LED systems.
• Key features:
  • IoT-based Centralized Control Monitoring System (CCMS) for remote operation.
  • Wireless communication technology for lamp control.
• Expected impact:
  • 84.5% energy savings.
  • Reduction of 20,000 metric tonnes of CO₂, equal to CO₂ absorption by 9.24 lakh trees.

1. c) Waste-to-Energy (WTE) – Maharashtra’s First Integrated WTE Project

• ₹172 crore sanctioned to Antony Lara Renewable Energy Pvt. Ltd. for a 14 MW WTE plant in Pimpri-Chinchwad, Pune.
• Key features:
  • 700 TPD non-recyclable waste converted into electricity through controlled incineration.
  • Recycled water from Chikali Sewage Treatment Plant used (no freshwater needed).
• Estimated impact:
  • 7 lakh tonnes of CO₂ avoided annually, equivalent to emissions from 1.5 lakh passenger cars.
  • Electricity for Pimpri-Chinchwad Municipal Corporation’s (PCMC) sewage & water pumping facilities.

1. d) Water Recycling & Wastewater Treatment

• ₹530 crore sanctioned for Nagpur (200 MLD) & Chandrapur (70 MLD) wastewater treatment projects.
• Key benefits:
  • Treated water used for power plant cooling, reducing freshwater dependency.
  • 240 MLD freshwater made available for residents.
  • Supports agriculture and food security by preventing power plant shutdowns.

1. e) Gujarat Desalination Plants – Addressing Water Scarcity

• ₹1,156 crore financing for four desalination plants (270 MLD capacity) in Kutch, Dwarka, Somnath, and Bhavnagar.
• Expected benefits:
  • Freshwater for 5.5 lakh households.
  • Cost savings for Gujarat on water supply (₹40-45/KL vs. ₹65-70/KL from the Sardar Sarovar Dam).
  • Potential industrial use of brine generated.

Environmental & Sustainability Actions

Waste Management Initiatives

• Organic Composting:
  • Installed 50 kg capacity composting machine at PFC office.
  • Converts 90% of organic waste into compost for plantation use.
• E-Waste Disposal:
  • IT waste responsibly recycled through CPCB-registered vendors.
• Plastic Reduction:
  • Minimal plastic usage, promoting jute/cloth bags & paper folders.

Digital Sustainability

• Paperless work culture with e-office, digital board meetings, and collaboration tools to reduce carbon footprint.

Impact of PFC’s Clean Energy Investments

Renewable Energy Portfolio – CO₂ Reduction Impact

• CO₂ Emission Avoidance:
  • 885 lakh tonnes of CO₂ avoided annually, equivalent to the absorption by 354 crore trees.
• Breakdown of RE projects financed:
  • Wind: 6,699 MW
  • Solar: 11,861 MW
  • Hybrid (Solar & Wind): 1,959 MW
  • Waste-to-Energy: 207 MW
  • Small Hydro: 694 MW
  • Large Hydro: 27,815 MW

To know more, visit –

https://pfcindia.com/ensite/Home/VS/72