RPower gets RBI nod to raise ECB for Tilaiya UMPP

Reliance Power has received in-principle approval from the RBI for raising external commercial borrowings (ECB) of $2 billion for its 4,000 mw ultra mega power project at Tilaiya in Jharkhand. The financial closure process for the project has been initiated and it is expected that it would be financed at a debt to equity ratio of 75:25. The power and coal mine put together are estimated to cost around Rs 24,000 crore ($5 billion). It is learnt that majority of land required for the construction of the power plant has already been acquired. The environment clearance for the power plant has also been obtained. Water required for the power plant has been allocated by the government from the Tilaiya reservoir which is located at a distance of about 4 kms from the power plant.