Power Grid Corporation of India announced that its board has approved raising up to ₹5,000 crore through an unsecured rupee term loan or line of credit from Union Bank of India. The decision was taken during a board meeting held on 9 March 2026.
The borrowing will be structured as a bank facility and will not be backed by specific collateral. Such arrangements are commonly used by large infrastructure companies to support funding needs related to projects and operations.
The loan approval allows Power Grid to access funds through a term loan or a line of credit from the public sector lender. The company did not specify a timeline for drawing down the facility.
Power Grid is a government-owned transmission utility that manages a large share of India’s inter-state electricity transmission network.
The company typically raises funds through loans, bonds and other instruments to finance transmission projects and network expansion.
Alongside the borrowing plan, the board approved an investment of ₹233.96 crore for setting up a Centralised Security Operations Center for Substations, referred to as OT SOC.
The facility is intended to monitor operational technology systems used in substations and help identify cyber security risks within the transmission network.
According to the company’s filing, the security operations centre is scheduled to be implemented within 24 months from the date of approval by the Central Electricity Regulatory Commission.
The project will cover monitoring of multiple substations through a centralised system designed to track and respond to potential digital threats affecting grid infrastructure.
The board also granted in-principle approval for the divestment of Power Grid’s entire equity stake in Central Transmission Utility of India Ltd to Grid Controller of India Limited.
In addition, the company approved entering a strategic alliance with Africa50 and Uganda Development Bank to develop a transmission project in Uganda under the Independent Power Transmission model.
Read More: Power Grid Share Price in Focus as Subsidiary Commissioned Transmission System Strengthening Scheme!
As of March 10, 2026, 11:05 am, Power Grid share price was trading at ₹297.45, a 0.76% increase from the previous closing price.
The board decisions cover financing arrangements and project approvals taken during the meeting. The loan facility from Union Bank of India forms part of the company’s funding plan while other approvals relate to infrastructure and strategic initiatives.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Mar 10, 2026, 11:58 AM IST
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