ADB to back Indian solar power transmission project with USD 100m loan
Sep 14, 2011 - The Asian Development Bank (ADB) said Tuesday it would provide a USD-100-million (EUR 73m) loan for a solar power transmission project in India's state of Gujarat.
The loan has a 25-year term with a grace period of five years.
Total project costs are estimated at USD 137 million, with USD 37 million to come from the state's government. The latter will execute the project together with Gujarat Energy Transmission Corp.
The Gujarat solar power transmission project will include the construction of a substation, transmission lines and other equipment to collect and distribute the power to be produced at the Charanka solar park in the Patan district. The Charanka solar park project, whose capacity is planned at above 500 MW, is part of the Gujarat government's strategy to meet growing power consumption and at the same time scale down the use of fossil fuels. The project will also support India's Jawaharlal Nehru National Solar Mission, which targets 20,000 MW of grid-connected solar power capacity by 2022.