Under the ambit of National Monetization Pipeline (NMP), NHPC has completed monetization process for the financial year 2021-22 through securitization of future cash flow (RoE) of Chamera-I Power Station, Himachal Pradesh for 10 years. An agreement was signed on 24th February 2022 by Shri K.K. Goel, Executive Director (Finance), NHPC and Shri Ashutosh Kumar, Sr. Vice President, HDFC Bank in the presence of Shri A K Singh, CMD, NHPC, Shri R P Goyal, Director (Finance), NHPC and other officials of NHPC, HDFC Bank and SBI Capital Market Ltd. HDFC Bank emerged as highest bidder for facilitating present value against the future cash flow of Chamera- I Power Station. The monetization deal has been closed at a discounting factor of 5.24% p.a linked with 3M T-Bills which has fetched present value of Rs.1016.39 crore against the future cash flow of 10 years for Chamera- I Power Station.
The monetization through securitization of future cash flow is one of the most tax efficient, economical and faster mode of asset monetization. Under the process, the ownership of the asset remains with the company while the company is able to raise resources for meeting out CAPEX target which is the main objective of NMP.
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