DMK MP Urges Centre: Cut PFC, REC Loan Rates by 1.5% for Tamil Nadu Power Utility

• DMK MP R Girirajan requested a 1.5 percentage point reduction in loan interest rates from Power Finance Corporation (PFC) and REC Ltd.
• The plea aims to alleviate the financial strain on Tamil Nadu Generation and Distribution Corporation (TNGEDCO).
• TNGEDCO currently pays Rs 7,000 crore annually in interest on loans ranging from 9.5% to 12.65%.
• The Tamil Nadu government has specifically asked PFC and REC to lower TNGEDCO's interest rate to 8%.
• TNGEDCO is actively restructuring its debt and aims to break even within three financial years.