HYDERABAD: The Telangana government on Wednesday accorded permission to the Kaleshwaram Irrigation Project Corporation Ltd (KIPCL) to borrow term loan of `12,067.36 crore. The loan was sanctioned by the Power Finance Corporation (PFC) Ltd.
The loan amount will be used towards construction of pump houses, surge pools, electro-mechanical and hydro mechanical components, substations and transmission lines for the implementation of the Kaleshwaram lift irrigation project.
KIPCL will pay the Guarantee Commission at 2% consolidated for the entire guarantee period, as the Guarantee Commission cannot be exempted as per RBI guidelines. The KIPCL shall remit the amount to government, according to the orders issued by Chief Secretary.