On June 29, the World Bank agreed to $1.5 billion in financing to improve India’s development of low-carbon energy. The amount funded will help in three major areas which include growing renewable energy, developing green hydrogen technology, and promoting climate finance for low-carbon energy investment.
India is becoming the world’s fastest-growing large economy and it is important to increase renewable energy while decreasing carbon emissions in the nation.
The World Bank in June 2023, approved India $1.5 billion First Low-Carbon Energy Programmatic Development Policy Operation which has supported the nation to develop green hydrogen projects. Further, efforts were made to produce by the given funds green hydrogen, electrolyzers, and renewable energy penetration.
India needs to expand its green hydrogen production and consumption. They must also develop climate finance to get more money for low-carbon projects. India’s project aims to produce at least 450,000 tons of green hydrogen and 1,500 MW of electrolyzers each year and help reduce emissions by 50 million in a year.
The initiative is designed to support India’s low-carbon development strategy and help achieve the country’s net-zero carbon emtarget. World Bank funding is aligned with the Government of India’s energy security and with the World Bank’s Hydrogen for Development (H4D) Partnership to promote hydrogen use as a clean fuel.
The operation will also support steps to further develop a national carbon credit market.
