ENERGY FINANCING

European Investment Bank to lend €150 million for clean energy

eib-reuters Representative image | Reuters

More than 1.1 million households are expected to benefit from an investment of 150 million euros that the European Investment Bank committed today as a long-term loan to Indian Renewable Energy Development Agency (IREDA). The loan is for financing clean energy schemes.

The new credit line will support EUR 500 million of renewable investment and support construction of both new photovoltaic solar power schemes and on-shore wind farms across the country.

The agreement was signed today, ahead of the International Solar Alliance Summit by IREDA chairman Kuljit Singh Popli and European Investment Bank president Dr Werner Hoyer in the presence of R.K. Singh, Minister of State responsible for New and Renewable Energy.

“Electricity demand in India is expected to double in the next decade and how this electricity will be generated is important for both India and this planet,” said Tomasz Kozlowski, Ambassador of the European Union to India.

“India is the world’s third largest electricity consumer. The expansion of solar power generation alongside cutting energy use through energy efficiency measures is crucial to supporting sustainable economic development and reducing carbon emissions,” said Hoyer. “Investment in new solar energy and wind power schemes will improve access to clean energy for millions of Indians and create many new jobs.”

President Hoyer is leading a high-level European Investment Bank Delegation attending the International Solar Alliance summit. The European Investment Bank is the world’s largest financier of renewable energy and India is the largest recipient of EIB renewable energy financing outside Europe.