World Bank funds $1 billion for Indian solar projects

Raj Kamal Rao
 Prime Minister Narendra Modi with World Bank President Jim Yong Kim in a meeting in New Delhi on Thursday. Photo-PTI

Prime Minister Narendra Modi with World Bank President Jim Yong Kim in a meeting in New Delhi on Thursday.
Photo-PTI

In a major step after forming Solar Alliance at the Conference of Parties summit in Paris last year, India has today India and World Bank have signed an agreement to develop solar projects in India.

Committing to provide $1 billion in support to Indian solar energy projects, the World Bank President, Jim Yong Kim and Finance Minister Arun Jaitley signed an agreement to that affect in a meeting held in New Delhi on Thursday.

“India’s wants to triple the share of renewable energy by 2030 we will both transform the country’s energy supply together,” said World Bank Group President Jim Yong Kim.

File Photo of Prime Minister Narendra Modi inspecting a solar power plant in Gujarat. Photo-=PTI

File Photo of Prime Minister Narendra Modi inspecting a solar power plant in Gujarat.
Photo-=PTI

Terming this new investment the largest financing, the bank has ever done, Kim said that he is “extremely pleased with progress made in 6 priority areas. PM, his govt set difficult but imp targets.”

As part of the agreement, World Bank Group will develop a road-map to mobilise financing for development and deployment of affordable solar energy apart from working with other multilateral development banks and financial institutions.

The World Bank also signed an agreement to pump funds close to $625 million for the Grid Connected Rooftop Solar Program under the National Solar Mission.  The project will finance the installation of around 400 megawatt of solar photovoltaic power projects.

Union Finance Minister Arun Jaitley with Jim Yong Kim, President, World Bank at a meeting in New Delhi on Thursday. The World Bank  signed an agreement with the International Solar Alliance (ISA), consisting of 121 countries led by India.

Union Finance Minister Arun Jaitley with Jim Yong Kim, President, World Bank at a meeting in New Delhi on Thursday. The World Bank signed an agreement with the International Solar Alliance (ISA), consisting of 121 countries led by India.

World Bank-supported projects include infrastructure for solar parks, solar rooftop technology, bringing hybrid technologies to market, and establishing transmission lines.

“With regard to ease of doing business ranking, we have
given our viewpoint to the World Bank. Their teams will
separately be coming to India to assess the progress that we
made in this regard,” said Finance Minister Arun Jaitley after signing the agreement.

The ISA was launched at the UN Climate Change Conference in Paris on November 30, 2015, by Prime Minister Narendra Modi and French President Francois Hollande.

ISA consists of 121 countries led by India aims to collaborate with global agencies and mobilise around $1 trillion of investment in solar energy by 2030.

Earlier in the day, Kim me Prime Minister Narendra Modi and promised “proactive” and “full support” to India’s efforts for environmentally sustainable development

“Met World Bank President Jim Yong Kim today and discussed ways to deepen India’s engagement with the World Bank,” PM Modi tweeted.

The Prime Minister and the World Bank chief discussed a broad range of issues and possible avenues of cooperation. Modi emphasized the importance of adequate climate change financing for countries like India which are consciously choosing to follow an environmentally sustainable path.