MP Pushes for Lower Interest Rates to Alleviate TNGEDCO's Financial Strain

DMK MP R Girirajan requested the central government to lower loan interest rates from PFC and REC Ltd by 1.5 percentage points. This move aims to reduce the financial burden on the Tamil Nadu Generation and Distribution Corporation, which pays hefty interest yearly on these loans.

During a session in the Rajya Sabha, DMK MP R Girirajan highlighted the financial struggles faced by the Tamil Nadu Generation and Distribution Corporation (TNGEDCO).

He urged the Centre to help alleviate this burden by reducing loan interest rates from Power Finance Corporation and REC Ltd by at least 1.5 percentage points.

The reduced rates are expected to ease TNGEDCO's annual interest payments. Currently, these interest costs tally up to approximately Rs 7,000 crore annually.

(With inputs from agencies.)