New Delhi: Power Finance Corporation Limited (PFC), India’s largest NBFC and a Maharatna CPSE, has exchanged its Memorandum of Understanding (MoU) for FY 2025-26 with the Ministry of Power. The agreement sets fresh annual performance targets under the Department of Public Enterprises (DPE) evaluation framework for CPSEs.
Strengthening Power Sector Financing
The MoU was e-signed by Pankaj Agarwal, Secretary, Ministry of Power, and Parminder Chopra, CMD of PFC. As the principal financial institution for India’s power sector, PFC continues to align its operations with national priorities of reliable, affordable, and sustainable energy.
The DPE MoU framework evaluates CPSEs on financial and operational benchmarks, assigning performance ratings based on achievements. PFC has consistently secured the highest “Excellent” rating under this system, demonstrating strong governance and delivery capability.
Focus on Renewable Energy and Emerging Technologies
PFC has expanded beyond conventional power financing to become India’s largest renewable energy financier. With the largest renewable sector loan book among Indian institutions, PFC is driving the clean energy transition through enhanced funding for solar, wind, green hydrogen, and battery storage projects.
The institution’s financing support is central to India’s net zero ambitions, as it facilitates the deployment of emerging technologies and accelerates the adoption of sustainable power solutions.
Pivotal Role in Energy Transition
Established in 1986, PFC operates under the administrative control of the Ministry of Power. With its strong balance sheet and domain expertise, the PSU remains a cornerstone in India’s infrastructure financing ecosystem. Its strategic funding ensures both energy security and alignment with the government’s long-term decarbonisation roadmap.
About Power Finance Corporation (PFC)
Power Finance Corporation Limited is a Maharatna CPSE and the largest government-owned NBFC in India based on asset size. Headquartered in New Delhi, PFC provides financial assistance across the entire power sector value chain. The corporation has played a pivotal role in funding generation, transmission, distribution, and renewable energy projects, supporting India’s transition towards clean and sustainable energy.
