US Ex-Im Bank approves $86 million loan for Indian solar PV project

September 12th, 2011 by Mridul Chadha

The United States Export-Import bank has approved a grant of $86 million to one of India’s leading power companies to set up a 40 MW solar PV project. When commissioned in March 2012, the project will be among the largest solar PV projects in the country. The project will be set up in the solar resource-rich state of Rajasthan in western India.

The solar power plant would also benefit the US economy as the solar panels would be sourced from First Solar. First Solar will deliver a total of 100 MW worth of thin-film solar panels to Reliance Power by 2012. Reliance Power plans to set up more projects in Rajasthan in the near future.

In November 2010, the Ex-Im bank had approved a loan for $917 million to Reliance Power for its ultra mega power project (UMPP). The 4000 MW power plant to be located in Madhya Pradesh will be based in super critical coal technology which is relatively cheaper than the conventional coal-based power generation technology.

The Ex-Im bank noted that the project would still lead to production of significant amounts of greenhouse gases, given its enormous size, asked Reliance Power to set up renewable energy projects to offset at least a part of the expected GHG emissions. The solar power project is a part of the offsetting program.

Under the program, the company will also set up a 200 MW wind energy project in Maharashtra. The project will can be increased to 400 MW would be the largest wind farm in India.

Image: Jumanji Solar (Flickr/CC)

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Tags: First Solar, India, Rajasthan, Reliance Power

About the Author

Mridul Chadha currently works as Head-News & Data at Climate Connect Limited, a market research and analytics firm in the renewable energy and carbon markets domain. He earned his Master’s in Technology degree from The Energy & Resources Institute in Renewable Energy Engineering and Management. He also has a bachelor’s degree in Environmental Engineering. Mridul has a keen interest in renewable energy sector in India and emerging carbon markets like China and Australia.

GATTEN

IS THE U.S. EX-IM BANK REALLY FUNDING THE BUILDING A MANUFACTURING PLANT INDIA? HAS ANYBODY NOTICED OUR COUNTRY SEEMS TO BE FAILING FOR LACK OF JOBS?
Anonymous

With the size of the Indian market, the number of homes and villages not connected to the grid, it would seem that India could work to create better small scale storage systems.

Since size and weight is not as important for stationary applications it would seem that ultracapacitors would be an interesting option. Buy them once and they should last for generations.
Anonymous

Makes sense given India’s insolation, abundant labor and engineering talent. This will drive volume manufacturing to the terawatt level required to displace carbon.
http://www.facebook.com/anumakonda.jagadeesh Anumakonda Jagadeesh

Good News. The United States Export-Import bank can also extend grants to set up large Wind Farms especially offshore wind farms.There will be many Industrialists who want to go for this.

Dr.A.Jagadeesh Nellore(AP),India
Wind Energy Expert
E-mail: anumakonda.jagadeesh@gmail.com