THDC deal with Alstom-HCC combine-I: French to provide ECA cover

 THDC is in the process of issuing a tender for a floating rate foreign currency loan of Euro 88.47 million to finance the "foreign

component" of the EPC contract given to the consortium of Alstom Hydro France and Hindustan Construction Company Ltd

(HCC) for execution of the 4x250 MW Tehri PSP.


The contract was awarded to the consortium for a total of Euro 88.47 million along with a Rupee component of Rs 1272 crore and

the scope of work includes planning, design & engineering, civil works, supply & services of electro-mechanical and

hydro-mechanical equipment as well as erection, testing and commissioning of units.

Coface, the Export Credit Agency of France has agreed to provide the necessary export credit insurance, including political and

payment default cover for financing the deemed French portion (most equipment would be sourced from France) of the transaction

as well as the eligible local portion, the eligible foreign content, the premium to be charged by Coface as well as capitalized interest.

Coface guarantee will come into effect once Alstom Hydro submits an application to Coface.
 The following are the details of the loan:
Tenor: 20 years, Repayment period: 30 semi-annualized repayments, ECA cover: 85% comprehensive cover, Interest: Floating, 6

months EURIBOR plus margin.