Question : CANADA`S INTEREST IN POWER GENERATION PROJECTS



(a) whether the Government of Canada have evinced interest in electricity generation projects in India;

(b) if so, the names of projects in which Canadian Government have shown interest; and

(c) the response of the Government in this regard?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF POWER ( SHRIMATI JAYAWANTI MEHTA )

(a) to (c) : Chamera Hydro Electric Project (Stage-I) in Himachal Pradesh has been constructed with financial assistance from Canada and Chamera Hydro Electric Project (Stage-II) is being constructed with part financing, as loan, from Canada. The National Hydro-electric Power Corporation (NHPC) is availing a loan amount $ 175 million for Chamera-II H.E. Project.

The Power Finance Corporation (PFC) has signed an agreement with the Export Development Corporation (EDC) of Canada on June 6, 2001 for a Line of Credit Facility of upto US$ 75 million. The Line of Credit is a tied credit intended for on-lending by PFC to finance the purchase of goods and/or services by various State Electricity Boards and PFC`s other qualified borrowers from various Canadian Exporters and can be utilized for financing upto 85% of such import components.