European Investment Bank chief meets Modi, discusses eco-friendly projects
The long-term loan will support total investment of 650 million euro in five different large-scale photo-voltaic solar power projects.business Updated: Mar 31, 2017 20:19 IST
European Investment Bank president Werner Hoyer on Friday called on Prime Minister Narendra Modi and discussed India’s funding requirement for environment-friendly projects.
“In course of the conversation today the Prime Minister explained India’s policies in the areas of climate change and environmental sustainability. The European Investment Bank has lent over one billion Euros to India towards environmentally sustainable projects including the Lucknow Metro,” the PMO said in a statement.
Modi had met a high level delegation of the EIB a year ago at the EU-India summit and promised support for establishment of the bank’s regional office in Delhi. “This office was inaugurated today.” it said.
Hoyer appreciated India’s strong and proactive measures in the field of climate change, and expressed the bank’s continued support for India’s efforts in this direction.
EIB has okayed Rs 1,400 crore (200 million euro) loan to State Bank of India to fund solar power projects.
The long-term loan will support total investment of 650 million euro in five different large-scale photo-voltaic solar power projects, EIB said in a statement.
This will contribute to India’s National Solar mission and reduce dependence on fossil fuel power generation.
Four solar power projects at a generation capacity of 530 MWac have already been identified under this funding, it said.
“The new cooperation between the State Bank of India and the European Investment Bank will scale up investment in large scale solar power generation across India,” said B Sriram, Managing Director, State Bank of India.
Close cooperation between technical and financial teams from both institutions will ensure that world class projects are supported, he said.
“This new project reflects the shared commitment of India and the European Union to tackle climate change and implement the Paris Climate Agreement,” said Andrew McDowell, Vice President of the European Investment Bank.
The 20 -year long-term EIB loan will support individual projects. Projects in Tamil Nadu and Telangana are amongst those to be funded under this agreement.
This funding will be in addition to financing from Indian banks and project promoters.
One of the largest lenders in renewable energy investment, EIB has financed projects of 1.7 billion euro (about Rs 11,900 crore) in India since 1993.
Owned by the 28 member states of the European Union, it is the world’s largest international public bank.