With an aim to bolstering India’s renewable energy sector, the Indian Renewable Energy Development Agency Ltd. (IREDA) and Punjab National Bank (PNB) have inked an MoU aimed at fostering renewable energy initiatives nationwide. The agreement, sealed at IREDA’s headquarters in New Delhi on February 19, 2024, signifies a collaborative effort to enhance financial support for a diverse array of renewable energy projects.
The MoU encompasses a range of provisions geared towards bolstering assistance for renewable energy endeavors. These provisions include joint lending, loan syndication and underwriting, management of Trust and Retention Account (TRA) for IREDA borrowers, and endeavors to secure competitive terms of sanction, including pricing on IREDA borrowings. Furthermore, the collaboration enables IREDA and PNB to invest in bonds issued by either organization.
The signing ceremony was graced by key officials from both entities, including Dr. R. C. Sharma, General Manager of IREDA, and Shri Rajeeva, Chief General Manager of PNB. Also present were Shri Pradip Kumar Das, Chairman & Managing Director of IREDA, Shri Atul Kumar Goel, MD & CEO of PNB, Dr. Bijay Kumar Mohanty, Director (Finance) of IREDA, along with other senior executives.
Commenting on the strategic alliance, Shri Pradip Kumar Das, CMD of IREDA, emphasized its pivotal role in accelerating the growth trajectory of renewable energy in India. He stated, ‘By leveraging our combined strengths and resources, we aim to provide robust financial backing to a diverse range of Renewable Energy projects, thereby fostering sustainability and environmental consciousness.’ He also highlighted IREDA’s alignment with Government’s COP26 commitment to achieve a 500 GW Non-Fossil-based electricity generation capacity by 2030.
This collaboration further solidifies IREDA’s partnerships with leading financial institutions, including Bank of Baroda, Union Bank of India, Bank of India, India Infrastructure Finance Company Limited, Bank of Maharashtra, and Indian Overseas Bank. These MoUs share a common focus on co-lending and loan syndication to propel renewable energy projects nationwide.
