The government is doing a lot to furnish the energy sector with a long term financing. The government has been very proactive in the sector. It has put in enough money for the bulk trader to secure transactions for power.
If the bulk trader does not have capital, it cannot sign a contract or a PPA with anybody to develop power.
The size of the funding required to reach the 20,000 MW goal suggests that current investment capabilities prove another bottleneck to power supply growth.
Funds is being provided through domestic banking institutions and are limited by balance sheet and sector credit limits that will be tapped by the 2013
To expand the current capacity to finance the sector reform, any of the following might be considered: domestic and public-sector financing solutions.
The Federal Government would support financing efforts by any of the following: directly through debt or equity investments; or through special purpose vehicles or financial insurance to recycle domestic and private-sector banking balance sheets.
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