CLP said that the project, installed with supercritical technology, will be the largest of its kind in the company’s generation portfolio in Asia Pacific. Its first unit is scheduled to commission by December 2011 and second unit by May 2012.

The amount of loan sanctioned for the project is INR39 billion. The transaction, lead-arranged by IDBI Bank also involved participation from banks and financial institutions such as Power Finance Corporation (PFC), Rural Electrification Corporation (REC), Infrastructure Development and Finance Corporation (IDFC), India Infrastructure Finance Company (UK), United Bank of India, Allahabad Bank, Dena Bank, Bank of Baroda, State Bank of Patiala, State Bank of Travancore, State Bank of Mysore, Oriental Bank of Commerce, and PTC India Financial Services.

Rajiv Mishra, managing director, CLP India, said: “Our ability to conclude financing arrangements for the Jhajjar Power Plant in just eight months from its foundation date under such difficult financial market conditions reflects the inherent strength of CLP and the confidence of the lending community in the company.

“Once completed and commissioned in time, the Jhajjar project will contribute significantly towards improving the power situation in Haryana State and will also help the state’s employment status by providing jobs to approximately 250 staff directly and thousands indirectly.”

In line with CLP’s Climate Vision 2050 which targets at reducing carbon intensity by 75% across its operations in Asia Pacific by 2050, the power plant will deploy the supercritical technology that uses less coal to generate electricity, thus lower carbon emissions.

It will also be equipped with flue gas desulphurisation equipment that would reduce emissions of sulphur dioxide. Arrangements for a coal supply contract of 5.2 million tonnes per annum are in place. The project has committed 90% of its electricity output to the state of Haryana, the company said.