40 banks and non-banking financial companies (NBFCs) have sanctioned Rs 71,201.54 crore to fund renewable energy projects in India and disbursed Rs 29,529.57 crore against the sanctioned amount between February 2015 and March, 2016.
During RE-INVEST 2015, 40 banks and NBFCs committed to provide debt funding to renewable energy projects aggregating to over 78.75 GW during the span of next five years. Loans sanctioned by these Banks & FIs for RE projects are 18.63 percent of commitments made.
The commitments made by country’s banks and NBFCs to finance RE projects and agreements with foreign banks and FIs to provide low cost and on long term funding are expected to boost the growth of the Indian renewable energy sector.
RE-INVEST 2015, an event on renewable energy organized by Ministry of New and Renewable Energy, saw RE capacity commitments of over 283 GW from stakeholders. Further, there was commitment of over 62 GW of manufacturing of RE equipment in India.
The India Government has set a target of 175 GW of renewable energy capacities by 2022 with a capital outlay of $160 billion including equity of $40 billion. In addition, huge investment is required for transmission; up-gradation of infrastructure in order to utilize power generated though Renewable Energy sources.