NEW DELHI: State-owned power sector financiers REC and PFC have signed a common loan agreement to provide Rs 26,850 crore to Meja Urja Nigam Pvt Ltd (MUNPL) for setting up the 2,400 MW Stage-II expansion of the Meja thermal power project in Uttar Pradesh.The project, estimated to cost Rs 38,357.81 crore, will comprise three ultra-supercritical units of 800 MW each at Meja in Prayagraj district. MUNPL is a 50:50 joint venture between NTPC Limited and Uttar Pradesh Rajya Vidyut Utpadan Nigam Ltd (UPRVUNL).REC is the lead financier for the project, while the loan will be funded equally by REC and PFC.The new units will use ultra-supercritical technology along with an air-cooled condenser system. Ultra-supercritical plants operate at higher steam temperature and pressure than conventional coal-fired units, resulting in higher efficiency, lower coal consumption and reduced emissions per unit of electricity generated. Air-cooled condensers also reduce water consumption compared with conventional water-cooled systems.According to the companies, the project is expected to strengthen power availability in Uttar Pradesh to meet growing demand from households, agriculture and industry. It is also expected to support the state’s long-term energy security and provide reliable electricity for industrial and urban growth.