World Bank approves $1.5B for India's low-carbon energy sector
POWER & RENEWABLE ENERGY

World Bank approves $1.5B for India's low-carbon energy sector

On June 29, the World Bank approved $ 1.5 billion in financing to advance India's development of low-carbon energy. This funding aims to promote low-carbon energy by enhancing renewable energy, developing green hydrogen, and stimulating climate finance for low-carbon energy investments, according to a World Bank blog post.

In addition to this second phase of financing, the World Bank had previously approved the $ 1.5 billion First Low-Carbon Energy Programmatic Development Policy Operation in June 2023. This initial funding supported the waiver of transmission charges for renewable energy in green hydrogen projects.

Efforts with this new financing will focus on boosting the market capability for green hydrogen, scaling up renewable energy, and stimulating finance for low-carbon energy investments. The second Low-Carbon Energy Programmatic Development Policy Operation will support reforms to increase the production of green hydrogen and electrolyzers, crucial technology for green hydrogen production. It will also back reforms to increase renewable energy penetration by incentivizing battery energy storage solutions and amending the Indian Electricity Grid Code to improve renewable energy integration into the grid.

The World Finance Organisation emphasized the importance of separating India's economic growth from emission growth, noting that this decoupling will require scaling up renewable energy, particularly in hard-to-abate industrial sectors. It stated that India will need to expand green hydrogen production and consumption, along with accelerating the development of climate finance to boost low-carbon investments. The supported reforms are expected to produce at least 450,000 metric tons of green hydrogen and 1,500 MW of electrolyzers annually from the financial year 2025-26 onwards.

On June 29, the World Bank approved $ 1.5 billion in financing to advance India's development of low-carbon energy. This funding aims to promote low-carbon energy by enhancing renewable energy, developing green hydrogen, and stimulating climate finance for low-carbon energy investments, according to a World Bank blog post. In addition to this second phase of financing, the World Bank had previously approved the $ 1.5 billion First Low-Carbon Energy Programmatic Development Policy Operation in June 2023. This initial funding supported the waiver of transmission charges for renewable energy in green hydrogen projects. Efforts with this new financing will focus on boosting the market capability for green hydrogen, scaling up renewable energy, and stimulating finance for low-carbon energy investments. The second Low-Carbon Energy Programmatic Development Policy Operation will support reforms to increase the production of green hydrogen and electrolyzers, crucial technology for green hydrogen production. It will also back reforms to increase renewable energy penetration by incentivizing battery energy storage solutions and amending the Indian Electricity Grid Code to improve renewable energy integration into the grid. The World Finance Organisation emphasized the importance of separating India's economic growth from emission growth, noting that this decoupling will require scaling up renewable energy, particularly in hard-to-abate industrial sectors. It stated that India will need to expand green hydrogen production and consumption, along with accelerating the development of climate finance to boost low-carbon investments. The supported reforms are expected to produce at least 450,000 metric tons of green hydrogen and 1,500 MW of electrolyzers annually from the financial year 2025-26 onwards.

Next Story
Infrastructure Transport

India’s Maha Kumbh of Road Construction

The RAHSTA Forum 2025, held on June 25 at Courtyard by Marriott, Mumbai, delivered powerful insights and dialogue on the future of India’s roads and highways sector. Organised by the FIRST Construction Council, the Forum served as the curtain-raiser to the much-anticipated RAHSTA Expo 2025, set to take place on 3rd and 4th September at the Jio Convention Centre, Mumbai.Union Minister of Roads Transport & Highways Shri Nitin Gadkari, while appreciating the efforts of FIRST Construction Council and ASAPP Info Global Group, commended the awards which recognise excellence across various..

Next Story
Real Estate

Built to Last, Designed to Impress

The construction and interior design industries stand at the confluence of functionality and aesthetics, where innovation powers the creation of enduring structures and inspiring spaces. At the heart of this process are materials and solutions that enable architects, designers, and builders to realise their visions with precision and reliability.Featuring iconic brands such as Fevicol—synonymous with adhesive solutions—Dr. Fixit, a complete waterproofing system renowned for addressing every critical area of construction, and Roff, a specialist in tile-fixing solutions, Pidilite has earned ..

Next Story
Infrastructure Energy

New Push to Cut India’s Air Pollution through Power Sector Reforms

In a significant stride toward environmental sustainability, Cummins India introduced CPCB IV+ compliant gensets to India on July 5, 2023, marking a paradigm shift in the power generation industry. These generators are engineered to adhere to the progressive emission norms set by the Ministry of Environment, Forest, and Climate Change. Being the first sets in the field, they have garnered praise for their remarkable achievements in emissions reduction and cutting-edge technology. Powerica, with its four-decade-long partnership with Cummins India Limited, is dedicated to consistently deliver th..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?