Connect with us

Hi, what are you looking for?


Green Economy

KfW Approves $110 Million Loan For Indian Renewable Energy Transmission Project

German development bank KfW has approved a loan for developing a transmission project to support renewable energy projects in India. 

According to media reports, the government of Kerala has received nod from KfW for a loan worth Rs 916 crore ($110 million). The funding will enable construction of a transmission project worth Rs 14.5 billion. The transmission project will enable evacuation of power from solar and wind energy projects planned in Kerala. 

The loan from KfW would likely be available at a concessional rate of 3-4% (the current benchmark rate India’s reserve bank is 6.5%). The central government will contribute over Rs 1.3 billion towards the project. 

The transmission project is part of the Green Energy Corridor program — a nationwide project to set up a network of transmission infrastructure for evacuation of renewable energy. 

The first phase of the Green Energy Corridor program was launched in 2015. According to the Ministry of New and Renewable Energy, it had a target to set 9,767 circuit-kilometers of  transmission lines and 22.6 gigawatts of sub-stations. As of November 2022, 8,697 circuit-kilometers of transmission lines and 19.8 gigawatts of sub-stations had been commissioned. 

The total cost of the program was estimated at just over Rs 100 billion. The central government was to provide a grant to cover 40% of the cost while the state governments were required to invest 20% equity in the individual transmission projects. Balance 40% was to be sourced from KfW in the form of debt at concessional rates. 

Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Former Tesla Battery Expert Leading Lyten Into New Lithium-Sulfur Battery Era — Podcast:

I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it! We just don't like paywalls, and so we've decided to ditch ours. Unfortunately, the media business is still a tough, cut-throat business with tiny margins. It's a never-ending Olympic challenge to stay above water or even perhaps — gasp — grow. So ...
If you like what we do and want to support us, please chip in a bit monthly via PayPal or Patreon to help our team do what we do! Thank you!
Written By

An avid follower of latest developments in the Indian renewable energy sector.


You May Also Like

Green Economy

Some of the leading global pension funds are vying for a stake in the latest renewable energy yieldco offering in India. According to media...

Green Economy

Global investment firm KKR has participated in the second fundraising exercise in sixth months for India-based Serentica Renewables. According to media reports, KKR has...

Green Economy

The Indian renewable energy company Avaada has secured a massive $1.07 billion from multiple investors, including Brookfield.  According to media reports, Brookfield Renewable, part...

Clean Power

GAIL India, a government-owned natural gas distribution company, has announced plans to enter the solar module manufacturing sector. GAIL, formerly Gas Authority of India...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.