India

INDIA

India has ambitious renewable energy targets to meet growing energy demand. However, CPI analysis shows that the cost of debt in India increases the cost of renewable energy by as much as a third relative to the U.S. and Europe and is a significant challenge to these targets.

 

Our Focus

Climate Policy Initiative’s team in India works to increase investment to India’s renewable energy and green growth targets through a three-pillar approach: first, understand potential investors in renewable energy and the barriers they face; second, explore policy solutions to these barriers; and third, develop actionable financial instruments and implementation pathways. We work with the Ministry of New and Renewable Energy, the Ministry of Finance, and other policymakers to help advance India towards its clean development goals. The team is led by CPI Director Dr. Gireesh Shrimali.

Key Projects

  • The India Innovation Lab for Green Finance is a public-private initiative, led by CPI, to seek out and help implement novel solutions for unlocking and scaling up investment for green infrastructure in India. By addressing investors’ needs, it aims to drive new private investment for clean growth.
  • The US-India Clean Energy Finance (USICEF) initiative aims to drive access to energy in underserved regions of India, by supporting early stage development of distributed solar power projects. A partnership between the Indian Ministry of New and Renewable Energy, the Overseas Private Investment Corporation (OPIC), and a consortium of US foundations, USICEF provides project preparation support that will catalyze long-term debt financing for distributed solar power from OPIC and other international financial institutions. CPI serves as the Program Manager.
  • Institutional investors, both international and domestic, are the most promising investor class to help fill the investment gap between the amount of investment expected vs. required to meet India’s 2022 renewable energy targets. CPI analyzed their potential in detail, as well as barriers and recommended solutions to drive more institutional investment.

 

Partner Institutions

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Registration

CPI’s India program is registered with the name, “Climate Policy Foundation” under Section 8 of the Companies Act, 2013.

What's New In India

PUBLICATION

Do clean energy investments add value to a portfolio?

November 12, 2018

Through this discussion paper, we aim to present our initial insights on the potential effects the addition of clean energy listed equity can have on existing portfolios, when treated as a separate asset class.

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PUBLICATION

Energizing Finance: Understanding the Landscape 2018

November 12, 2018

The Energizing Finance series is the first and only in-depth attempt to capture multiple years of data on investment for the two key areas of energy access: electrification and clean cooking. It focuses on public and private finance commitments in 20 developing countries – known as the high-impact countries – that together account for nearly 80% of those living without access to sustainable energy.

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PUBLICATION

Drivers and Challenges for Rooftop Solar Loans to Small and Medium Enterprises in India

October 31, 2018

In this report, we assess the viability of the CAPEX loan model, a similar model to the existing CAPEX cash model, where the customer makes the upfront payment to finance the solar assets. This payment is, however, financed by a mix of the customer’s own equity and a commercial loan taken directly by the customer ...

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PUBLICATION

The Lab: 2017-2018 Cycle Instrument Analysis

October 12, 2018

The Lab aims to drive billions of dollars of private investment to the low-carbon economy, by identifying, developing, and supporting transformative sustainable finance ideas. Founded in 2014, the Lab incubates a small number of initiatives each year. The 35 instruments launched by the Lab have mobilized US$ 1.38 million to date.

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PUBLICATION

Credit Support Pathways for Rooftop Solar Projects in India

October 8, 2018

India, under the Intended Nationally Determined Contribution (INDC), has set an ambitious target to achieve installed capacity of 175GW of renewable energy by 2022, including 100GW of solar power. Of that, the government aims for 60 GW to be utility-scale solar, and the rest to be rooftop solar. Though India has made significant progress ...

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