We are open. That is also non-fossil fuel source. If someone is willing to come for seeking finance for a nuclear power plant we are open to finance that. We had certain discussion with Nuclear Power Corporation also for their upcoming projects. But they have not come to us yet for seeking finance," he said. The plan to finance nuclear power projects comes at a time when the Union government is looking at increasing India's nuclear power generation capacity to Nuclear power is considered to be a non-fossil resource as it produces little or no carbon emission.
We do have sufficient projects in pipeline. Dewangan further said that although the company has diversified into non-power infrastructure sectors, the disbursal for those infrastructure projects has declined given the renewed focus on coal-based power along with green energy projects. Noting that power generation, distribution and transmission remain the key focus areas for the company, the CMD said that the company would look at financing cross-border transmission projects.
We are first looking into the neighbouring countries. India-Sri Lanka transmission line is not yet finalized, if that project comes we can think of financing.
First the south-east Asia is our nearest opportunities," adding that all such projects would be taken up after approval from the Reserve Bank of India. He added that external commercial borrowings at lower rates and 54EC capital gain bonds continue to be attractive sources of fundraising for the NBFC.
Then, I have a special instrument, which is capital gains tax saving, called 54EC bond. That is the cheapest source of fund available. Inclusion of the company under the 54EC of the Income Tax Act exempts investors buying bonds from it from capital gains tax, making their bonds more attractive.
