World Bank, KfW, JICA and ADB prefers IREDA for funding green projects
The Indian Renewable Energy Development Agency (IREDA) aims to raise approximately Rs.25 lakh crore fund for green energy projects by 2030, and has called on international funding agencies’ participation in its endeavours.
IREDA Chairman & Managing Director (CMD) Pradip Kumar Das has also highlighted that all the major multilateral and bilateral agencies such as World Bank, KfW, JICA and ADB preferred to channel their funds through IREDA for RE projects in India.
This demonstrates that IREDA is the top choice for RE funding, he said at a panel discussion on “Scaling up Clean Energy Investment in Emerging Economies” under the aegis of G20 events at the Ministry of New and Renewable Energy on 23 Feb 2023.
He requested these agencies to review their project appraisal process in order to speed up financial support by reducing processing time and other bottlenecks.
Das assured that IREDA would continue to play a motherly role in the RE sector through financing.
He urged Insurance and Superannuation funds to mandate 2% investment of their assets under management in Green Bonds to finance green energy projects.
IREDA is to establish an office in Gujarat’s GIFT City to finance Renewable Energy projects in foreign currency. The GIFT City office will be classified as an overseas office, allowing the IREDA to avoid foreign exchange hedging cost.
Speaking of the IREDA’s phenomenal growth over the past three years, Das remarked. “We have concentrated on providing handholding approach to our stakeholders with every possible support in compliance with best Corporate Governance Standards.
“As a result of IREDA’s proactive approach of proper review and monitoring, the company has been able to lower its Net NPAs from 7.18% to 2.03% during the past three years.”
Further, IREDA is the trend-setter to introduce unique financial products as per market requirements.
He emphasized that IREDA has been working to ensure highest standards of Corporate Governance by implementing the 3Cs principles of Conviction, Commitment, and Clarity. fiinews.com