New Delhi: In a boost to India’s efforts to transition to a low-carbon economy, the Global Environment Facility (GEF) will provide $454 million in funding for energy-efficiency projects run by state-owned Energy Efficiency Services Ltd (EESL).
This funding by the GEF, an international partnership of 183 countries, United Nations agencies, multilateral development banks, and international non-governmental organisations (NGOs), will help EESL’s projects mitigate 60 million tonnes (mt) of carbon dioxide emissions.
The funding will be utilised for EESL’s programmes for street lighting, domestic lighting, five-star rated ceiling fans and agricultural pumps and also help diversify its portfolio.
“The project will receive a composite funding of $454 million comprised of a GEF grant of $20 million and co-financing of $434 million in the form of loans and equity, including a $200 million loan from the Asian Development Bank. EESL further proposes an Energy Efficiency Revolving Fund (EERF) for a sustainable funding mechanism of energy-efficiency projects,” EESL said in a statement.