€500 million in EU’s first phase funding for India green energy

The European Investment Bank (EIB), the lending arm of the European Union, has expressed its intention to invest approximately €1 billion in India’s renewable energy sector. EIB’s Vice President, Kris Peeter, confirmed that discussions are underway with the Central government to provide €500 million during the first phase of funding. The investment aims to bolster renewable sectors, focusing on green hydrogen and solar panels.

India’s Significance as an Investment Destination

  • India holds a prominent position as the largest investment destination of EIB outside Europe.
  • India’s efforts to combat climate change have global significance.
  • India’s ambitious plans for solar panels and hydrogen, emphasizing that these efforts will also lead to potential exports.

EIB’s Previous Investments in India

Until now, EIB has invested approximately €4 billion in India, with €3 billion directed towards infrastructure projects, particularly public transport infrastructure like metro rail projects. EIB’s contributions have played a crucial role in funding metro rail projects in various Indian cities, including Agra, Lucknow, Kanpur, Bengaluru, Bhopal, and Pune.

Supporting India’s Green Hydrogen Initiatives

India is actively pursuing green hydrogen pilot projects with the goal of achieving 8 million tonnes of capacity by 2030. The Union Ministry of New and Renewable Energy is supporting two green hydrogen pilot projects in Gurugram and Bengaluru.

Additionally, other green hydrogen projects across the country, such as those in Jorhat (Assam), Kawas (Gujarat), and Bikaner (Rajasthan), are being developed by entities like Oil India Limited, NTPC Ltd., and ACME, respectively.

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Piyush Shukla

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