A composite funding of $454 million has been announced marking a landmark partnership between Global Environment Facility (GEF) and Energy Efficiency Services Limited (EESL) for the project ‘Creating and Sustaining Markets for Energy Efficiency’. The fund is comprised of the GEF grant of $20 million and co-financing of $434 million in the form of loans and equity, including a $200 million loan from the Asian Development Bank (ADB). EESL further proposed Energy Efficiency Revolving Fund (EERF) for sustainable funding mechanism of energy efficiency projects in the country.
Ajay Kumar Bhalla, Secretary, Ministry of Power in his address said that “currently around two-thirds of total power generation capacity in India is based on fossil fuels. By 2030, India is committed to achieve 40% of the installed capacity based on clean energy sources”.
While Naoko Ishii, Chairperson and CEO, GEF said “with the strong leadership of EESL and the Government of India, the penetration of these clean energy technologies will help India leapfrog to a more sustainable future while helping reduce local and global emissions”.
GEF is an international partnership of 183 countries, international institutions, civil society organizations and the private sector that addresses global environmental issues.
EESL is a joint venture of four National Public Sector Enterprises – NTPC Limited, PFC, REC and POWERGRID, and was set up under Ministry of Power.