The World Bank has approved
a global environment facility (GEF) grant of $22.93 million (~Rs.1.55 billion) to enhance the
installed capacity of grid-connected rooftop solar PV (GRPV) and strengthen the
capacity of relevant institutions for widespread installation of GRPV in India.
grid-connected rooftop solar program is critical to harnessing India’s solar potential,” said Junaid Ahmad, World Bank
Country Director in India. “This
additional financing will strengthen the capacity of key institutions and help
in bringing international best practices to support the program fulfill its aim
of developing at least 400 MW of GRPV across India.”
The additional GEF grant will support the overall $625
million (~Rs.42.38 billion) GRPV program,
approved by the World Bank Board earlier
this year, and a total program investment of $915 million (~Rs.62 billion) in solar rooftop
development. It will provide incentives to State Bank of India to lend to
riskier categories of GRPV customers such as the non-banking financial
institutions, and small and medium enterprises to finance and install GRPV. It
will also strengthen the investment climate for GRPV by building capacity of
the main stakeholders involved in the expansion of GRPV.
India is targeting 40
GW of rooftop solar installations by 2022. However, rooftop installations have
been slow to takeoff so far with approximately 600 MW installed to date
according to Mercom India Project Tracker.
This global environment facility by the World Bank will help rooftop
installation activity by increasing access to funding.