Competitive financing is critical to India’s energy transition
Dr Prasanna V. Salian, Director, Department of Economic Affairs, Ministry of Finance, has underscored India’s commitment to an equitable and affordable clean energy transition under its net-zero 2070 target http://services.india.gov.in.
While citing various flagship initiatives of the Indian Government, he stressed the vital role of multilateral development banks like New Development Bank (NDB) in mobilising resources, enabling low-cost technology transfer, and promoting climate-smart investments.
He was speaking on 29 Nov at a seminar which recognised that successful energy transitions in India and other developing countries require coordinated efforts, technological innovation, advanced financing solutions, long-term policy clarity, and strong, collaborative partnerships built on trust.
The event reaffirmed NDB’s commitment to fostering resilient, sustainable, and inclusive growth across its member countries.
The seminar, held in Mumbai, explored strategies for financing India’s sustainable energy transition.
The event gathered policymakers, financiers, industry leaders, and experts to discuss innovative financing mechanisms, emerging clean energy technologies, and the role of multilateral development banks in accelerating the shift to low-carbon energy systems.
India, like other emerging markets, faces the dual challenge of meeting rising energy demand while reducing carbon emissions. The seminar emphasised the urgent need for substantial investments in solar, wind, green hydrogen, battery storage, and smart grid infrastructure to achieve the country’s climate goals and support resilient economic growth.
In his opening remarks, Dr Rajiv Ranjan, Vice President and Chief Risk Officer of NDB, said, “India has achieved 50% non-fossil fuel electricity capacity ahead of its 2030 target.”
He continued, “At NDB, we are on track to meet our strategic goals of allocating 40% of our financing to climate projects and 30% in local currencies, as outlined in the Bank’s Strategy (2022-2026). As we mark our 10th anniversary, we reaffirm our commitment to innovation, partnerships, and local currency financing.”
NTPC Ltd Chairman and Managing Director Gurdeep Singh pointed out that competitive financing is critical to India’s energy transition.
He outlined NTPC’s evolution into an integrated energy company focused on renewables, hydro, and nuclear, and highlighted the need to diversify the energy mix, adopt efficient technologies, and pilot innovative solutions.
Established in 2015 by Brazil, Russia, India, China and South Africa (collectively called BRICS), the New Development Bank mobilises resources for infrastructure and sustainable development projects across BRICS and other emerging economies. NDB has approved US$40 billion in financing for 120 projects spanning clean energy, transport, water and sanitation, and digital and social infrastructure. The Bank is rated AA+ by Standard & Poor’s, AA by Fitch Ratings, and AAA by Japan Credit Rating Agency, all with stable outlooks. Fiinews.com
