State-run transmission utility Power Grid Corporation (PGCIl) plans to raise around Rs 2,000 crore in February through domestic bonds to meet its capital expenditure requirements for executing ongoing projects. The Navratna firm is also planning to raise up to Rs 2,000 crore through debt to meet its working capital requirements.
“We will be raising Rs 2,000 crore through domestic bonds in February. This will be primarily utilised for funding our capital requirements for executing various projects,” a company official told PTI here on thursday. He said the company will also raise up to Rs 2,000 crore to meet its working capital requirements.
“This will be used for primarily repaying debt of Rs 1,200 crore. We may raise another Rs 800 crore or may be less to meet our other working capital requirements,” the official said. This fund raising is part of the Rs 22,456-crore capital expenditure planned by the company for 2015-16, he added. Power Grid would also be investing about Rs 328 crore in ramping up two transmission projects. The projects include Western Region System Strengthening Scheme-XIV at an estimated cost of Rs 120.67 crore with a commissioning schedule of 30 months from the date of investment approval.
It will invest Rs 207.9 crore for 400-kv bays extension at 400-kv Vemagiri sub-station at an estimated cost of Rs 207.9 crore, with a commissioning schedule of 30 months progressively from the date of investment approval. These investment proposals were approved by the company's board of directors at a meeting on January 27, Power Grid said in a regulatory filing.