The World Bank has approved financial assistance of USD 305 million for the Haryana Clean Air Project for Sustainable Development (HCAPSD), providing a significant boost to the state’s goal of becoming pollution-free by 2030. The package includes a USD 300 million IBRD loan and a USD 5 million grant from the South Asia Regional Integration Multi-Donor Trust Fund.

An official spokesperson said the approval follows a high-level meeting held in Chandigarh in November last year between Haryana Chief Minister Nayab Singh Saini and World Bank representatives. During the meeting, the World Bank committed to a loan of Rs 24.98 billion to support the implementation of HCAPSD, which has a total project cost of Rs 36.46 billion. The Haryana government will contribute Rs 10.65 billion, along with an additional grant allocation of Rs 0.83 billion.

HCAPSD is designed to deliver measurable improvements in air quality across the state through coordinated action in key sectors, including transport, industry, agriculture, urban management and scientific monitoring. Implementation will be overseen by a dedicated special purpose vehicle, ARJUN (AI for Resilient Jobs, Urban Air Quality & Next-Gen Skills Council), to ensure integrated planning, execution and real-time monitoring.

ARJUN is chaired by Rajesh Khullar, Chief Principal Secretary to the Chief Minister of Haryana, who previously served as Executive Director on the Board of Directors of the World Bank representing India, Bhutan, Bangladesh and Sri Lanka from 2020 to 2023.

The project will support Haryana’s action plan to reduce air pollution through a mix of multi-sector interventions. It will also invest in advanced air quality and emissions monitoring systems, strengthening the state’s capacity to identify pollution sources and assess the effectiveness of mitigation measures.