Rural Electrification Corporation (REC), a Navratna PSU disbursed Rs 160.70 billion loan to Telangana for construction of 4000 MW Yadadri power plant. On Aug. 11, 2015 Rajeev Sharma, CMD, REC handed over the cheque to K. Chandrashekar Rao, CM of Telangana.

The credit support is given to TSGENCO for setting up an Ultra Mega Power Project of capacity with 5 x 800 MW at Yadadri. The disbursement of Rs 160.70 billion is highest ever extended by REC in a single instalment.

Earlier, REC, a Navratna PSU, had signed a MoU with TSGENCO in February, 2015 for providing the financial assistance to the extent of Rs 200 billion. This was to facilitate Telngana's ambitious program of developing Thermal Power projects during 12th plan for capacity addition of about 4000 MW. REC will continue to play a leading role among the development partners active in Telangana's power sector development.

Shares of the company declined Rs 16.25, or 6.01%, to settle at Rs 254.35. The total volume of shares traded was 394,878 at the BSE (Wednesday).