More Stories

Informist, Friday, Mar. 20, 2026

--PFC CMD: Need to define green in 'green taxonomy', still see no greenium

--CONTEXT: PFC CMD Chopra speaking at Bharat Electricity Summit 2026

--Power Grid: Battery energy storage no substitute for transmission systems

--CONTEXT: Power Grid Director Ganesan speaks at Bharat Electricity Summit

NEW DELHI - The government needs to clearly define 'green' under the green taxonomy framework to realise the benefits of green financing, Power Finance Corp. Ltd. Chairman and Managing Director Parminder Chopra said Friday. Ambiguity in the definition has kept the greenium, or the premium on green bonds, lower than it could be, she said at the Bharat Electricity Summit 2026. 

The government has launched a draft climate taxonomy to encourage investment in green technologies and help the country cut carbon emissions. However, even after multiple rounds of consultations, it has yet to release a concrete framework. Meanwhile, the government has also rejected bids for its green bonds that were up for auction in 2024 and 2025. 

According to Chopra, a clearly defined 'green' tag will allow developmental finance organisations to raise funds at a competitive price, thereby reducing their cost of borrowing and making their funds cheaper for players to borrow. The PFC's board Tuesday approved borrowing up to INR 1.6 trillion in the next financial year starting Apr. 1. 

For the December quarter, Power Finance reported a net profit of INR 47.63 billion on revenues of INR 146.56 billion. Friday, the company's shares closed 0.2% higher at INR 412.85 on the National Stock Exchange.

Speaking at the conference, Power Grid Corporation of India Ltd. Director of Finance Ravisankar Ganesan said battery energy storage is no substitute for transmission systems. "Battery energy storage is not a substitute for the transmission system; it is only a supplement to the transmission system. The transmission systems can be better utilised with the help of battery energy storage systems," he said.

According to Ganesan, once the outcome of the policies is known, more batteries will supplement the transmission lines, ultimately bringing down the cost of transmission in the overall power scenario. For the quarter ended December, Power Grid Corp. reported a net profit of INR 41.60 billion on a revenue of INR 110.05 billion. Shares of the company Friday closed at INR 297.60 on the National Stock Exchange, up 0.3% from the previous session.  End

Reported by Priyasmita Dutta, Gunjan Rajput, Sakshi Jain, and Astha Oriel

Edited by Saji George Titus

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2026. All rights reserved.