Germany offers India €2 billion in solar, clean energy funds

Leaders Modi and Merkel agree renewables finance package and to cooperate on plans for global climate deal in Paris

(Pic: Bundesregierung)

(Pic: Bundesregierung)

By Ed King

Germany will deliver €2 billion (US$2.2 bn) to India in a deal aimed to boost solar energy and green developments across the country, the countries revealed on Monday.

According to a joint statement, €1 billion has been offered over five years to help India meet a goal of deploying 100 gigawatts of solar by 2022.

A further billion will go towards “green energy corridors” linking major cities, and boosting electricity access in rural areas.

India prime minister Narendra Modi said he had agreed plans with German chancellor Angela Merkel to deepen research cooperation in clean and renewable energy, and energy efficiency.

He added both leaders had discussed plans for a global climate deal to limit warming to below a 2C danger zone, set to be signed off in Paris this December.

“I admire German leadership in clean energy and commitment to combating climate change. This is an area where we have convergence of views, and rapidly growing cooperation,” he said.

“We look forward to a concrete outcome at COP21 in Paris that strengthens the commitment and the ability of the world, especially of poor and vulnerable countries, to transition to a more sustainable growth path.”

Last week, India published a target to generate 40% of electricity from non-fossil fuel sources by 2030, backed by aggressive increases in solar, wind and nuclear capacity.

In a plan submitted to the UN ahead of Paris, it said it would cut its greenhouse gas emissions for each unit of GDP 33-35% from 2005 levels by 2030.

Read more on: Climate Finance | Climate Politics | India | Renewables |