In a significant move towards strengthening the renewable energy landscape in India, Pradip Kumar Das, Chairman and Managing Director (CMD) of the Indian Renewable Energy Development Agency Ltd (IREDA), announced the agency’s plans for setting up a subsidiary dedicated to the retail segment. This subsidiary aims to cater to various projects including Rooftop Solar, PM-KUSUM, Electric Vehicles, and other Business-to-Consumer (B2C) segments. The announcement came during a panel discussion on “Green Financing: Architecture for Accessible Finance,” held in New Delhi on February 20, 2024, as part of the “2nd CII India Europe Business & Sustainability Conclave,” organized by CII in partnership with the Ministry of External Affairs.
During the discussion, CMD Pradip Kumar Das emphasized IREDA’s proactive approach to enhancing the bankability of Rooftop Solar projects. He referred to the “PM Surya Ghar Muft Bijli Yojana,” announced by the Prime Minister on February 13, 2024, as a significant initiative in this regard.
The panel mainly focused on supporting investments in India’s Renewable Energy sector to expedite growth, with a particular emphasis on ensuring project bankability. Das highlighted IREDA’s commitment to making various Renewable Energy technologies, including emerging ones like Electric Vehicles, Green Hydrogen, and Offshore Wind, more bankable. He also noted the agency’s success over the past three years in reducing Non-Performing Assets (NPAs), by addressing borrower concerns and enhancing transparency in the lending process.
Das also underscored the significant role of Micro, Small, and Medium Enterprises (MSMEs) in environmental sustainability. He reaffirmed IREDA’s dedication to supporting MSMEs and promoting their involvement in the Renewable Energy sector. He stressed the importance of MSMEs improving their ratings and governance to facilitate their access to finance for renewable energy projects at competitive interest rates.
The establishment of a dedicated retail subsidiary and the continued efforts to enhance the bankability of renewable energy projects underscore IREDA’s commitment to the development and growth of the sector. These initiatives align with India’s broader goal of achieving a sustainable energy future and reducing its carbon footprint. As the Renewable Energy sector continues to gain momentum, IREDA’s proactive approach and strategic focus on financing and support mechanisms will play a crucial role in driving the country towards its renewable energy targets.
