The Asian Development Bank (ADB) has signed off on a $152 million loan for renewable development in the Indian state of Rajasthan.
On September 12, the ADB approved a package of three loans for its Rajasthan Renewable Energy Transmission Project.
Under the terms of the 40-year agreement, the ADB will lend the state government of Rajasthan, and its power utility the Rajasthan Rajya Vidyut Prasaran Nigam Ltd (RRVPNL), $62 million from its capital reserves to invest in renewable energy transmission infrastructure in a state which is aiming to generate 8 GW from solar and wind by 2018.
On top of the ADB loan, the global Clean Technology Fund, administered by the ADB in Asia, will lend a further $88 million to the project as well as a $2 million loan for capacity development.
The deal is potentially good news for solar developers in the state still awaiting payment of solar incentives owed them by the previous government as Rajasthan can use up to 20% of the loan to pay expenses accrued in the 12 months prior to the loan being signed off.
As part of the agreement, the state government and the utility have agreed to finance the project to the tune of $127 million.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.