The Power Finance Corporation (PFC) has agreed to fund the expansion of the AP Genco Krishnapatnam power project in Nellore district of Andhra Pradesh.

The project now has a functional 800 MW unit and second unit of 800 MW is ready for commissioning.

At a meeting with Chief Minister N Chandrababu Naidu, the PFC team led by its Chairman and Managing Director MK Goel, have agreed to fund around ₹3,542 crore for the expansion of Krishnapatnam unit with a capacity of 800 MW.

The PFC also expressed its intent to provide around ₹7,000 crore more for new transmission schemes of AP Transco in the next two to three years.

According to a statement from the Chief Minister’s Office, PFC has also come forward to provide support in reducing technical and commercial losses through Restructured Accelerated Power Development and Reform Programme schemes and the newly proposed Integrated Power Development Schemes.

Capacity The unit-I of 800 MW which was commissioned earlier this year is now under the process of stabilisation towards generation with full capacity. The second unit is also in the process of commissioning. AP Genco is now looking at further expansion of this project.

According to the State Energy Department, the PFC is likely to invest about ₹15,000 crore in the State over a span of two-three years.

This includes ₹7,000 crore in transmission, ₹3,000 crore in power generation and ₹5,000 crore in distribution system in the State.

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