ADB, Green Climate Fund to launch clean energy financing programme in India

The $200m assistance aims to attract public and private investment.

The Green Climate Fund (GCF) has approved a $200m clean energy financing for an Asian Development Bank-led (ADB) assistance programme in India.

In a statement, ADB said the funding will support the India Green Finance Facility (IGFF), a blended finance program that aims to crowd-in investment in emerging clean energy technologies from India’s leading development finance institutions (DFIs) and from the private sector.

The programme aims “to unlock large-scale public and private investment in high-impact and emerging clean energy sectors in India.”

“Through this facility, ADB will seek to support lines of credit with qualifying national DFIs, which will be responsible for developing the pipeline of projects,” the bank said.

The first partnership between the two parties in India will fund the country’s DFIs to accelerate funding for technologies such as round-the-clock renewable energy, green hydrogen, compressed biogas, electric transport in rural areas and decentralised renewable energy solutions.

A central innovation of the IGFF is the creation of a $65-m risk-sharing facility. This will provide partial credit guarantees to help smaller developers access affordable finance for compressed biogas projects.