HARNESSING THE SUN
Rupee 29,500 crore has been disbursed for renewable energy sector since last February
have been getting monthly status reports on achievements made so far by the Banks &NBFCs who have given commitments to finance RE bankable projects.
The Government has set an ambitious target of 175 GW of Renewable Energy capacities by 2022. Achieving this target require capital outlay of US $ 160 billion including equity of US $ 40 billion. In addition, huge investment is required for transmission; up-gradation of infrastructure in order to utilize power generated though Renewable Energy sources. As such Banks &NBFCs have to play a major role to provide low cost and long term financing for these projects.
Over the last few years some private banks in India have signed deals with development banks to provide loans at concessional rates. The Indian Renewable Energy Development Agency (IREDA) is also providing loans at low rates following its recent agreements with banks like KfW, AFD, Nordic Investment Bank, World Bank, Asian Development Bank, the European Investment Bank, and Japan International Cooperation Agency. Recently, the Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi has approved the scaling up of budget from Rs, 600 crore to Rs. 5,000 crore for implementation of Grid Connected