{"id":22212,"date":"2019-09-30T13:07:39","date_gmt":"2019-09-30T07:37:39","guid":{"rendered":"http:\/\/www.greenworldinvestor.com\/?p=22212"},"modified":"2019-09-30T13:07:39","modified_gmt":"2019-09-30T07:37:39","slug":"why-pmo-is-so-concerned-about-re-credit-in-india","status":"publish","type":"post","link":"https:\/\/iiec-india.org\/greenworld\/2019\/09\/30\/why-pmo-is-so-concerned-about-re-credit-in-india\/","title":{"rendered":"Why PMO is So Concerned About RE Credit in India"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>Renewable energy<\/strong> projects are very capital-intensive and require a large number of funds.\u00a0 However, ultra-low price points and rising levels of NPAs have made banks reluctant to lend to the <strong>Indian clean energy power sector<\/strong>. The Prime Minister of India has also stepped in to help the clean energy sector in India realize its full potential by resolving the issues of\u00a0accessing\u00a0easy credit for these projects. the ratification of the Paris Climate Change agreement and the <a href=\"http:\/\/www.greenworldinvestor.com\/2019\/09\/26\/indian-pm-inaugurates-solar-park-at-un-headquarters\/\" target=\"_blank\" rel=\"noopener\"><em>inauguration of Gandhi Solar Park<\/em><\/a> at the UN headquarters has marked India&#8217;s efforts towards establishing itself as a leading global clean energy player on an international platform. However, the country is suffering from a lack of funding to establish this stature. As such, the PMO has intervened\u00a0to make available\u00a0easy\u00a0credit to RE players, so as to help the country become a clean energy champion.<\/p>\n<p style=\"text-align: justify;\"><a href=\"http:\/\/www.greenworldinvestor.com\/wp-content\/uploads\/2015\/05\/solar-panels-india.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-medium wp-image-16748\" src=\"http:\/\/www.greenworldinvestor.com\/wp-content\/uploads\/2015\/05\/solar-panels-india-300x159.jpg\" alt=\"solar panels india\" width=\"300\" height=\"159\" srcset=\"https:\/\/iiec-india.org\/greenworld\/wp-content\/uploads\/2015\/05\/solar-panels-india-300x159.jpg 300w, https:\/\/iiec-india.org\/greenworld\/wp-content\/uploads\/2015\/05\/solar-panels-india-500x266.jpg 500w, https:\/\/iiec-india.org\/greenworld\/wp-content\/uploads\/2015\/05\/solar-panels-india-141x75.jpg 141w, https:\/\/iiec-india.org\/greenworld\/wp-content\/uploads\/2015\/05\/solar-panels-india-480x255.jpg 480w, https:\/\/iiec-india.org\/greenworld\/wp-content\/uploads\/2015\/05\/solar-panels-india.jpg 640w\" sizes=\"auto, (max-width:767px) 300px, 300px\" \/><\/a><\/p>\n<p style=\"text-align: justify;\">India had already achieved a <strong>record low\u00a0solar and wind power tariff<\/strong>\u00a0of Rs. 2.44 and Rs. 2.34 per unit, respectively. The low price has raised doubt in the minds of many as to whether these projects would be feasible, let alone profitable.\u00a0The PMO has asked\u00a0Indian policy think tank NITI Aayog to assess the situation at hand after leading public banks like SBI declined to\u00a0fund projects that have committed to selling power at rock-bottom tariffs. Funding from Power Finance Corp. and REC Ltd also slowed down. Niti Aayog is looking at resolving issues like\u00a0delays in payment by DISCOMs,\u00a0non-allocation of land for clean power projects, as well as other transmission infrastructure-related problems.<\/p>\n<p style=\"text-align: justify;\">Given its ambitious clean energy target, the country is currently looking at\u00a0$80 billion of funds till 2022, which is expected to increase three times to $250 billion during 2023-30. We hope the Indian government is successful in devising some plans for future renewable energy development in the country.<\/p>\n<blockquote><p>\u201cThere is a real problem but no easy solutions. Banks are not ready to lend to projects at low tariffs. They also have a point given the problem of NPAs (non-performing assets) they are facing,&#8221; said\u00a0a\u00a0government official.<\/p>\n<p><em>Source: <a href=\"https:\/\/www.livemint.com\/companies\/news\/pmo-steps-in-to-ease-supply-of-credit-for-green-energy-firms-11569783457689.html\" target=\"_blank\" rel=\"noopener\">Live Mint<\/a><\/em><\/p><\/blockquote>\n<p style=\"text-align: justify;\">\n","protected":false},"excerpt":{"rendered":"<p>Renewable energy projects are very capital-intensive and require a large number of funds.\u00a0 However, ultra-low price points and rising levels of NPAs have made banks reluctant<span class=\"excerpt-hellip\"> [\u2026]<\/span><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","content-type":"","footnotes":""},"categories":[30,45],"tags":[],"class_list":["post-22212","post","type-post","status-publish","format-standard","hentry","category-india-green-stocks-greeninvest","category-solar-renewable-energy-greeninvest"],"_links":{"self":[{"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/posts\/22212","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/comments?post=22212"}],"version-history":[{"count":0,"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/posts\/22212\/revisions"}],"wp:attachment":[{"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/media?parent=22212"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/categories?post=22212"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/iiec-india.org\/greenworld\/wp-json\/wp\/v2\/tags?post=22212"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}