Blended Finance Facility for Climate Action

Power Finance Corporation (PFC) has partnered with the Government of Goa to establish a Blended Finance Facility, aimed at advancing climate goals in the state.

About the MoU:

• The MoU aims to support the climate goals of Goa through the establishment of a Blended Finance Facility in partnership with the World Bank.
• The initiative seeks to promote low-carbon, climate-resilient development in the state.
• The partnership involves the establishment of a sub-national Blended Finance Facility, aimed at promoting low-carbon development with the support of the World Bank.

Objectives:

• The MoU aims to utilize innovative blended finance mechanisms to fund various climate projects, including renewable energy, green hydrogen, electric vehicles, waste-to-wealth technology, and nature-based solutions.
• The initiative targets energy transition and will contribute to India’s net-zero goals by attracting private sector investment in climate initiatives.

About the Power Finance Corporation (PFC):

• It is a prominent NBFC (Non-Banking Financial Company) and power sector PSU (Public Sector Undertaking), with the aim to finance and facilitate the development of power projects across the country.
• It was established in 1986 under the Companies Act.
• It provides financial assistance to various power projects, including thermal, hydro, renewable energy, transmission, and distribution projects.
• It promotes the development of the power sector by extending financial support to state electricity boards, power utilities, and private sector entities.
• It facilitates investments in power projects by arranging funds through domestic and international sources.
• It offers consultancy services in project development, appraisal, and implementation in the power sector.
• It is the largest renewable energy financier in India, playing a pivotal role in promoting renewable energy projects across the country.

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