PFC Partners with Ministry of Power for FY26 MoU to Boost CPSE Performance and Renewable Financing – EQ
In Short : Power Finance Corporation (PFC) has signed an MoU with the Ministry of Power for FY 2025–26 under the CPSE performance evaluation framework. The agreement sets annual financial and operational targets, reinforcing accountability and efficiency. PFC, India’s largest renewable energy financier, continues to support clean energy projects and infrastructure development, aligning with national sustainability goals and the country’s energy transition objectives.
In Detail : Power Finance Corporation (PFC) has signed a Memorandum of Understanding (MoU) with the Ministry of Power for FY 2025–26 under the CPSE performance evaluation framework. This MoU establishes annual financial and operational targets for PFC, ensuring that its performance is measured against clearly defined benchmarks. The framework promotes transparency, accountability, and operational excellence across central public sector enterprises.
The MoU was electronically signed by Power Secretary Pankaj Agarwal and PFC Chairperson and Managing Director Parminder Chopra. Senior officials, including directors and executive directors from both organizations, participated in the ceremony. Their presence highlights the strategic importance of the agreement and reflects a shared commitment to achieving operational and financial goals.
PFC has emerged as the largest renewable energy financier in India. Its loan portfolio now covers green hydrogen, battery storage, and other emerging clean technologies. By leveraging its balance sheet and domain expertise, PFC continues to expand funding for innovative energy projects, supporting India’s broader net-zero and energy transition objectives.
The CPSE performance evaluation framework aims to improve efficiency and accountability across public sector enterprises. By setting performance targets and assessing results against them, the framework encourages operational effectiveness. This structured approach ensures that organizations like PFC contribute more effectively to national development and sectoral goals.
Through the MoU, PFC reaffirms its commitment to excellence in operations. The company focuses on financing renewable energy and supporting infrastructure development, reinforcing its role in India’s sustainable energy transition. Strategic initiatives under this framework help PFC maintain leadership in the evolving energy sector.
The agreement also strengthens collaboration between PFC and the Ministry of Power. Both entities work together to implement schemes and initiatives that enhance the performance of the power sector. These partnerships aim to improve energy access, reliability, and sustainability across India’s states and regions.
PFC’s strategic focus on renewable energy financing aligns with national priorities for clean development. The company’s efforts contribute to reducing carbon emissions, promoting clean energy adoption, and supporting government initiatives toward achieving net-zero targets. PFC’s projects demonstrate measurable environmental and economic benefits.
Looking ahead, PFC plans to expand its renewable energy financing portfolio further. The company aims to collaborate with state governments, private partners, and other stakeholders to identify and support projects that advance India’s energy transition goals. These initiatives reinforce its position as a key enabler of sustainable development.
In conclusion, the MoU between PFC and the Ministry of Power for FY 2025–26 highlights a shared commitment to improving CPSE performance. By aligning operational and financial targets with national objectives, both organizations aim to enhance India’s energy sector. This collaborative approach underscores PFC’s pivotal role in achieving sustainable energy and development outcomes.
