REC Ltd. Company Profile: Products,Promoters and Clients

REC Ltd. Company

REC Limited, a 'Maharatna' Central Public Sector Undertaking under the Ministry of Power, finances the entire power sector value chain. Established in 1969 to support agricultural irrigation, REC now offers comprehensive financial services for power generation, transmission, distribution, renewable energy, and new technologies like EVs and Green Hydrogen. Registered with RBI as an NBFC, PFI, and IFC, REC also invests in non-power infrastructure, including roads, metro rail, airports, IT, educational institutions, and hospitals. REC's diversified portfolio enhances operational efficiency and fosters innovative technology solutions across India.

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 Q1. What are the Product and service offerings of the company?

REC Limited offers a comprehensive range of financial products and services, including:

  1. Long-Term Loans:

Power Generation Projects: Financing for new power generating stations based on conventional and renewable energy sources.

Transmission Projects: Loans for power evacuation from new generating stations and enhancement of existing transmission systems.

Distribution Projects: Funding for the strengthening and improvement of power sub-transmission and distribution systems.

  1. Medium-Term Loans (1-3 years):

Working capital for fuel purchase, power procurement, material and equipment purchases, and system/network maintenance.

  1. Short-Term Loans (up to 1 year):

Working capital for immediate operational needs such as fuel, power, materials, minor equipment, and maintenance.

  1. Equity Financing and Debt Refinancing:

Financial support through equity investments and restructuring of existing debts.

  1. Specialized Financing:

Equipment Manufacturing: Loans for manufacturing equipment for the power sector.

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Coal Mines: Financing for coal mining operations.

  1. Infrastructure and Logistics Sector Loans:

Loans for metro rail projects, roads and highways, ports and waterways, and steel infrastructure development.

These services facilitate the development and improvement of critical infrastructure, supporting both state and private sector projects across various domains.

 Q2. Who are the Promoters of the REC Ltd.?

Shri Vivek Kumar Dewangan, an IAS officer (Manipur: 1993), has been the Chairman & Managing Director of REC Limited since May 17, 2022. He holds a B.E. in Electronics from NIT, Bhopal, and a P.G. in Optoelectronics & Optical Communication from IIT, Delhi. Prior to REC, he served as Additional Secretary in the Ministry of Power, Government of India. 

Throughout his distinguished IAS career, he has held various administrative roles across Finance, Power, Petroleum & Natural Gas, and more. As CMD, he provides strategic vision and direction to REC and is also the ex-officio Chairman of REC Power Development and Consultancy Limited (RECPDCL).

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Shri Vijay Kumar Singh, Director (Projects) of REC Limited since July 15, 2022, holds a Bachelor’s Degree in Electrical Engineering from IIT Roorkee and has over 34 years of experience in the Indian power sector. Previously serving as Executive Director at REC and having worked with Power Grid Corporation of India Limited and NTPC Limited, he oversees technical functions including project appraisal for renewable energy, generation, transmission, and distribution, as well as infrastructure financing for ports, airports, metros, hospitals, and refineries. 

Additionally, he manages financing activities such as sanctioning, disbursement, project monitoring, business development, stressed assets management, diversification, procurement, legal matters, IT systems, and capacity building through RECIPMT. He also leads the Program Management Division in implementing government programs and is a Director on the Board of REC Power Development and Consultancy Limited (RECPDCL).

Shri Harsh Baweja, Director (Finance) of REC Limited since May 14, 2024, is a Chartered Accountant with 33 years of experience in financial operations across various institutions. As a Fellow Member of the Institute of Chartered Accountants of India (ICAI) and holder of a Diploma in Information Systems Audit from ICAI, he has a proven track record in complex financial management.

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Previously serving as Executive Director (Finance) at REC, he excelled in state and private sector financing, financial planning, policy formulation, and resource optimization. His strategic insights have significantly contributed to REC's growth and financial performance. As Director of Finance, Shri Baweja will lead REC's financial strategies, enhancing its resilience and supporting sustainable development, thus strengthening REC's position as a trusted leader in the infrastructure and power sector non-banking finance industry.

Q3. Who are the Clients of the REC Ltd.?

Here are the major entities with the percentage of the loan book:

  • Tamil Nadu Generation and Distribution Corporation Limited: 9.972%
  • Maharashtra State Electricity Distribution Company Limited: 5.023%
  • Telangana State Power Generation Corporation Limited: 3.454%
  • Kaleshwaram Irrigation Project Corporation Ltd: 3.425%
  • Andhra Pradesh Southern Power Distribution Company Limited: 3.346%
  • Uttar Pradesh Power Corporation Limited: 3.317%
  • Telangana State Southern Power Distribution Company Limited: 2.848%
  • Jodhpur Vidhyut Vitran Nigam Limited: 2.829%
  • Maharashtra State Power Generation Company Limited: 2.801%
  • Jaipur Vidyut Vitran Nigam Limited: 2.79%

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