Renewable energy projects need debt financing over grants
POWER & RENEWABLE ENERGY

Renewable energy projects need debt financing over grants

Emphasising the need for competitive debt financing over grants, Pradip Kumar Das, Chairman and Managing Director of Indian Renewable Energy Development Agency Limited (IREDA), highlighted the importance of strategic funding mechanisms for renewable energy projects. Speaking at the Bhutan-India Renewable Energy Roundtable in Thimphu, Das outlined how such financing could accelerate the region’s clean energy transition. The event was jointly organised by the governments of India and Bhutan, focusing on enhancing renewable energy cooperation. Das noted that IREDA is prepared to support Bhutan’s renewable energy initiatives within the regulatory framework set by the Reserve Bank of India (RBI) and the Ministry of New and Renewable Energy (MNRE). He assured that IREDA would adopt a 360-degree evaluation approach, ensuring robust project funding options that are both sustainable and viable for long-term growth. “IREDA’s experience in the sector allows us to offer competitive interest rates and long-term loan tenures, which can significantly drive Bhutan’s renewable energy growth trajectory,” he said. He also suggested that Bhutan explore rooftop solar development in addition to its existing hydro power capabilities. “Rooftop solar could be a key area of development that complements Bhutan’s renewable resources. With large hydro power now classified as renewable energy, IREDA can also support financing for such projects, reinforcing our commitment to decarbonisation and clean energy initiatives,” Das added. Participating in the discussion, S.K. Dey, General Manager (Projects), IREDA, spoke during the session titled “Role of Solar Energy in Energy Mix.” He highlighted the potential of blended financing models to develop solar projects in Bhutan, stressing that combining various funding sources like equity, loans, and grants could effectively drive growth in the sector.

Emphasising the need for competitive debt financing over grants, Pradip Kumar Das, Chairman and Managing Director of Indian Renewable Energy Development Agency Limited (IREDA), highlighted the importance of strategic funding mechanisms for renewable energy projects. Speaking at the Bhutan-India Renewable Energy Roundtable in Thimphu, Das outlined how such financing could accelerate the region’s clean energy transition. The event was jointly organised by the governments of India and Bhutan, focusing on enhancing renewable energy cooperation. Das noted that IREDA is prepared to support Bhutan’s renewable energy initiatives within the regulatory framework set by the Reserve Bank of India (RBI) and the Ministry of New and Renewable Energy (MNRE). He assured that IREDA would adopt a 360-degree evaluation approach, ensuring robust project funding options that are both sustainable and viable for long-term growth. “IREDA’s experience in the sector allows us to offer competitive interest rates and long-term loan tenures, which can significantly drive Bhutan’s renewable energy growth trajectory,” he said. He also suggested that Bhutan explore rooftop solar development in addition to its existing hydro power capabilities. “Rooftop solar could be a key area of development that complements Bhutan’s renewable resources. With large hydro power now classified as renewable energy, IREDA can also support financing for such projects, reinforcing our commitment to decarbonisation and clean energy initiatives,” Das added. Participating in the discussion, S.K. Dey, General Manager (Projects), IREDA, spoke during the session titled “Role of Solar Energy in Energy Mix.” He highlighted the potential of blended financing models to develop solar projects in Bhutan, stressing that combining various funding sources like equity, loans, and grants could effectively drive growth in the sector.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code