POWERGRID Secures ₹4,700 Crore JBIC Loan to Strengthen Renewable Energy Transmission
¥80 billion financing from Japan Bank for International Cooperation to fund the Khavda–Nagaur HVDC transmission project, reinforcing India's clean energy infrastructure and POWERGRID's ESG commitments.
State-owned Power Grid Corporation of India Limited (POWERGRID) has secured a ¥80 billion (approximately ₹4,700 crore) loan from the Japan Bank for International Cooperation (JBIC) to support India’s renewable energy transition and strengthen the country’s transmission infrastructure.
The loan agreement was signed between POWERGRID and JBIC on June 17, 2026, marking another milestone in the long-standing partnership between the two organizations.
The financing will be utilized for the Khavda–Nagaur High Voltage Direct Current (HVDC) transmission project, a strategically important infrastructure initiative designed to facilitate the evacuation and integration of large-scale renewable energy into India’s national power grid. The project is expected to significantly enhance the country’s ability to transmit clean energy from renewable-rich regions to major consumption centres.
Strengthening India’s Green Energy Network
The Khavda–Nagaur HVDC corridor is regarded as one of the critical transmission projects supporting India’s ambitious renewable energy targets. By strengthening long-distance power transmission capabilities, the project will help improve grid stability, enhance renewable energy integration, and contribute to India’s decarbonisation efforts.
The company said the financing also reflects the growing strategic cooperation between POWERGRID and JBIC in promoting sustainable energy infrastructure.
Financing Aligned with ESG Goals
According to POWERGRID, the loan is fully aligned with internationally accepted Environmental, Social and Governance (ESG) standards, underscoring the company’s commitment to building sustainable infrastructure and supporting India’s clean energy transition.
POWERGRID has integrated ESG principles into its core business strategy and has set ambitious long-term sustainability goals, including:
- Achieving Net Zero emissions by 2047
- Meeting 50% of its electricity requirement through renewable energy
- Becoming a Zero Waste Company by 2030
- Achieving Net Water Positivity by 2030
These initiatives are part of the company’s broader sustainability roadmap aimed at minimizing environmental impact while ensuring reliable electricity transmission across the country.
About JBIC
Headquartered in Tokyo, the Japan Bank for International Cooperation (JBIC) is a policy-based financial institution wholly owned by the Government of Japan. Established in 1999, JBIC complements private-sector financing while supporting sustainable economic development in Japan and across the world through strategic investments and international cooperation.
POWERGRID’s Expanding Network
As of May 31, 2026, POWERGRID operated:
- 291 substations
- 185,750 circuit kilometres of transmission lines
- 630,516 MVA of transformation capacity
The company said its extra-high-voltage transmission network, supported by advanced digital technologies and real-time monitoring systems, delivers a transmission system availability of over 99.5%.
Apart from its core transmission business, POWERGRID has also diversified into consultancy and telecommunications services, further strengthening its position as one of the world’s leading power transmission utilities.
