Government of India in Full Swing to Develop Renewable Energy Investments and Projects

In India, the establishment of renewable energy projects is going in full swing. The banks of Japan and Germany have agreed to provide energy investments to the Indian Renewable Energy Development Agency for fostering their clean energy project. Indian Renewable Energy Development Agency, leading agency which renders financial assistances for the companies, that are executing renewable energy projects and the banks of Germany and Japan have planned to furnish around 630 million US dollars as energy investments to IREDA. The government of India has adumbrated challenging goals for developing the renewable energy infrastructure, in the upcoming decades. Government is also planning to endorse new projects on wind energy, solar energy and several types of clean energy projects. Recent reports declared by the International Energy Agency portrayed that, if the energy investments for the fossil fuel industries and production of fossil fuels are ceased, then it would significantly decrease the problems which are caused by the climate change.

The financial ministry of G20 recently mentioned that, around 550 billion US dollars have been allotted as energy investment to the fossil fuel industries. Many people across the world think that, the environmental concerns such as global warming and climate change would reduce the investments allocated for this sector, but it was false. For the past couple of years the amount of investments has increased drastically. In the recently held G20 summit at Pittsburgh, the president of the United States planned to phase out the energy investments and other benefits to the fossil fuel industries, which were welcomed by respectable number of people. Iran, leading supporter of fossil fuel in the world has furnished more than 100 billion US dollars to subsidize fuel industries. In 2008, Iran has delivered more than one-third of the budget of the nation towards the development of fuel sector.

National Solar Mission is established to provide assistance for promoting the infrastructure of solar energy projects in India. Additionally it aims to implement methods which would intensify the energy efficiency on several market-based approaches. The various sectors of the clean energy receive subsidies from the government and these subsidies are furnished to the project developers via premium tariff rates or incentives or by tax benefits. To fasten the development and implement critical technology the subsidies and tax benefits are offered to the power distribution companies and equipment manufacturing companies respectively. Financial guidance is provided to the costumers who are implementing special attempts to develop the clean technology. Many plans are carried out by the government to provide solar lighting system which would be helpful for poor people.