The state-run NEEPCO has recently signed an agreement to secure a Euro 20 million loan from German Bank KWF under the Indo-German Bilateral Development Cooperation for the completion of the Pare Hydro-Electric Plant in Arunachal Pradesh, officials said on Friday.
North Eastern Electric Power Corporation Limited (NEEPCO) CMD A G West Kharkongor and KFW director Christoph Kessler signed the loan agreement which was required to ensure the completion of the 110 Mega Watt power plant in which all North East states will benefit, they said.
The new loan from KFW is a top-up of the 2008 agreement with Germany in which NEEPCO secured Euro 80 million loan.
The CMD said the Euro 80 million loan had been fully drawn and utilised for the power plant and the additional amount was required to ensure its completion.
Kharkongor said the construction is at an advanced stage and the project is likely to be commissioned in March next year.
NEEPCO has also bagged two more power projects in Meghalaya after the cabinet had given its nod yesterday.
On this, Kharkongor said the company is waiting for a formal communication from the state government.
We will have to sign the memorandum of understanding and do all the other formalities before proceeding to prepare the Detailed Project Report (DPR). Once we get the DPR cleared, construction will follow, he said.
The Meghalaya cabinet had cleared two projects - the 57 MW Umduna and 69 MW Umjaut - to be handed over to NEEPCO.
Both the projects were given to Mumbai-based ETA Star Infrastructure Ltd but the agreements were terminated in November this year.