(a) whether the Government has sought an increase in exposure limit from
the banks to have funding for the power sector;
(b) if so, the details thereof;
(c) the steps taken or proposed to be taken to expedite possible provision
of the same; and
(d) the extent to which the funds is likely to be sufficient to meet the power
needs of the 12th Plan period?
MINISTER OF THE STATE IN THE MINISTRY OF POWER (SHRI K.C. VENUGOPAL)
(a) to (d): Yes, Madam. A proposal to increase the exposure limits of banks
for power sector companies by 5% over the existing limits was under
consideration. Department of Financial Services has indicated that as per RBI,
the current exposure limits of Banks are way above the internationally
accepted exposure limit norms. RBI has further indicated that the existing
ceilings stipulated is adequate and no further increase in the limits is
warranted. PFC and REC have been authorized, as Infrastructure Finance
Companies, to lend additional five per cent of its owned funds to a single/group
borrower(s) in private sector.
Planning Commission has not finalized the funding requirements of
power sector in the 12th Plan.