NTPC is in discussions with Japanese funding agency Japan Bank for International Co-operation (JBIC) to raise green funds for its supercritical and ultra-supercritical power projects that are based on an efficient consumption of fossil fuels, reports Economic Times.

It is learnt that the loan from the Japanese finance agency could be in range of USD 500 million.

The JBIC has allocated USD 5 billion for lending in two years, under its Leading Investment to Future Environment Program.

Under this, the agency would release semi-commercial loans for projects involving clean power generation, energy efficiency improvement, water and urban transportation.

NTPC had approached the Japanese agency last month and in response, a delegation of senior officials from the finance agency, recently visited India to meet NTPC officials.

NTPC plans to build additional capacity of 3,300 megawatts in the current fiscal year, which also includes high-end energy efficient, wind and solar power projects.

Shares of the company closed down Rs 4.25, or 2.17%, at Rs 199.85. The total volume of shares traded at the BSE was 1,215,254 (Thursday).