Power Finance Corporation Limited has announced, via regulatory filings dated 08.05.2026, the incorporation of three Special Purpose Vehicles (SPVs) as wholly owned subsidiaries of PFC Consulting Limited (PFCCL), which is itself a wholly owned subsidiary of Power Finance Corporation Limited (PFC). These entities have been established to undertake preparatory activities for key intra-state transmission infrastructure projects in Maharashtra.

SPV Incorporation Details

The following table outlines the key details of all three newly incorporated SPVs:

Role of PFC Consulting as Bid Process Coordinator

PFC Consulting Limited has been nominated as the Bid Process Coordinator (BPC) by the Ministry of Power, Government of India, for the selection of developers through Tariff Based Competitive Bidding (TBCB) for Independent Transmission Projects (ITPs). In this capacity, PFCCL is responsible for preparing project profiles and initiating the process of land acquisition and forest clearance, where required. To facilitate these preparatory activities, the TBCB Guidelines issued by the Ministry of Power mandate the incorporation of an SPV. Each SPV undertakes activities such as survey and preparation of reports, initiation of land acquisition processes, and seeking forest clearance if necessary.

Government of Maharashtra's Role

The Government of Maharashtra, through its Government Resolution No. Sankirna 0125/P. No. 32/Urja-4 dated 27.02.2026, notified that the Empowered Committee (EC), in its meeting held on 12.01.2026, appointed PFC Consulting Limited as the BPC for selecting bidders as Transmission Service Providers (TSPs). The TSPs will be responsible for establishing the respective intra-state transmission systems for all three projects through the TBCB process.

Transfer to Successful Bidder

As per the provisions of the Tariff Based Competitive Bidding Guidelines for Transmission Service issued by the Ministry of Power, all incorporated SPVs are required to be transferred to the successful bidder selected through the International Competitive Bidding Process. Upon completion of the bidding process, the successful bidder will take over the respective SPVs and proceed with the development of the projects. The Company Secretary & Compliance Officer of Power Finance Corporation Limited, Manish Kumar Agarwal, has submitted this information to both the National Stock Exchange of India Limited and BSE Limited for record and disclosure purposes.

Power Finance Corporation and REC are targeting April 1 as the completion date for their proposed merger, according to reports. The draft scheme for the merger is expected to be released this month, marking a key milestone in the consolidation process of the two state-owned power sector financing entities.

Merger Timeline

The proposed merger between Power Finance Corporation and REC is progressing with a defined timeline. The following key parameters outline the current status of the merger plan:

Key Development

The anticipated release of the draft scheme this month is expected to provide further clarity on the structure and terms of the merger between the two prominent government-backed financial institutions operating in India's power sector. No additional financial details or terms of the merger have been disclosed in the currently available information.