PFC Approves Rs 633 Cr Loan for Deployment of 5000 EV Cabs, 1000 EV Cargo Vehicles

PFC Approves Rs 633 Cr Loan for Deployment of 5000 EV Cabs, 1000 EV Cargo Vehicles

CPSU under the Ministry of Power, Power Finance Corporation (PFC) has given a loan sanction worth Rs 633 crore to Gensol Engineering Ltd. This loan will facilitate the purchase of 5,000 passenger electric vehicles and 1,000 cargo EVs.

Gensol Engineering delves into the commissioning of solar projects in India and abroad and is a maker of electric vehicles.

The passenger EVs will be leased to Blusmart Mobility Pvt Ltd (BMPL), which will enable the firm towards fleet-expansion of ride-hailing cabs. The disbursement of the first tranche of the loan has already taken place and the EVs have already begun to ply in Delhi. The cabs became operational on April 20, 2023.

5,000 four-wheeler electric vehicles funded by PFC will help create emission savings of more than 1,00,000 tonnes of CO2 equivalent.

During the flagging off of the set of EVs, the CMD of PFC, Ravinder Singh Dhillon remarked, ”Through this funding, the PFC has endeavoured to contribute towards India’s Nationally Determined Contributions (NDC) goals and this will go a long way for moving towards a healthy and sustainable mode of transport.”

”We are excited with this financing through PFC, which will help us deploy more EVs on the streets of our cities,” stated Anmol Singh Jaggi, the CEO and Co-founder of BluSmart.

BluSmart claims to have the largest fleet of electric cabs and the largest network of EV fast charging stations spanning across Delhi-NCR and Bengaluru. The firm has achieved the completion of more than 5 million all-electric trips, having covered more than 185 million clean km.

Power Finance Corporation has been funding renewable projects on a large scale. Recently, Vibrant Energy secured more than INR 2,200 crores of project financing from Power Finance Corporation Ltd. (PFC). This funding will aid the firm in establishing 300 MW (AC) of wind-solar hybrid projects in Madhya Pradesh and Karnataka. Vibrant Energy claims this financing will be among the largest project financing deals in the Indian renewables industry in 2023. Of late, PFC has also been looking at debt funding of EVs (OEMs and fleet acquisition), battery OEMs and EV charging infrastructure, the company statement read.