ADB issues $250 million loan to India to expand energy efficiency investments
Asian Development Bank (ADB) has signed a US $250 million loan agreement with Government of India to provide loan to public sector company Energy Efficiency Services Limited (EESL) so as to expand energy efficiency investments in India that will benefit agricultural, institutional and residential consumers.
Earlier, in 2016, ADB had approved a US $200 million loan to EESL for demand side energy efficiency sector project that focused on efficient lighting and appliances.
In addition to US $250 million loan, a US $46 million financing will be provided from Clean Technology Fund (CTF) that will be administered by ADB. Moreover, besides the loan amount, a technical assistance of US $2 million will be provided to support EESL in implementing project.
The project includes identifying new business opportunities, a gender action plan, mobilising private sector participation in energy efficiency services, and transferring knowledge about successful models. EESL, an energy service company of Centre government will also explore business models to generate greater public demand for e-vehicles for supporting India’s current push for electric vehicles.
About Asian Development Bank (ADB)
It is s a regional development bank that was established in 1966. It is headquartered in Manila, Philippines and is owned by 68 members- 49 from the region. It is committed towards achieving inclusive, resilient, prosperous and sustainable Asia and Pacific, while sustaining its efforts to eradicate extreme poverty. In 2018, ADB made commitments of new loans and grants amounting to $21.6 billion.
Category: Economy & Banking Current Affairs