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1.4.2.7 PFA

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Like other businesses, there must be the provision for financing in the power distribution business as a very huge investment is required during the setting-up of different infrastructural requirements in the distribution sector. Hence there is a provision for a financing agency, called the Project Finance Agency (PFA), that has been made part of this model. Financial debt for current existing lending agencies is continuously increasing and there is a risk of financial contagion [14], so the newly proposed entity will solve the issue of financing in the power distribution business.

Active Electrical Distribution Network

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