IREDA and Bank of Maharashtra partner to promote renewable energy adoption in India

Tags: Economics/Business

IREDA (Indian Renewable Energy Development Agency) and the Bank of Maharashtra (BoM) entered into a partnership through a Memorandum of Understanding (MoU) in the renewable energy sector.

An Overview of the News

• The primary goal is to promote and facilitate co-lending and loan syndication for various renewable energy projects across India.

• The initiative supports India's efforts to reduce carbon emissions and transition to clean energy sources.

• The MoU was formally signed by Bharat Singh Rajput, General Manager of Technical Services), IREDA, and Rajesh Singh, General Manager (Retail and MSME Credit), Bank of Maharashtra, at IREDA's Business Center in New Delhi.

Sustainable Energy Infrastructure:

• The collaboration aims to establish a strong financial infrastructure for green energy projects.

• This infrastructure will increase access to clean and sustainable energy solutions for various communities and industries.

Alignment with government goals:

• This partnership underlines the importance of financial institutions and government bodies working together.

• This alignment supports India's ambitious target of achieving net zero emissions by 2070 as directed by the Honorable Prime Minister.

• The MOU includes a number of key services to support renewable energy projects:

• Co-lending and co-origination assistance.

• Loan Syndication and Underwriting Facility.

• Management of trust and retention accounts for transparency.

• Stable fixed interest rates for IREDA borrowings over 3-4 years.

IREDA Chairman and Managing Director - Pradeep Kumar Das