Proceeding along two main tracks – the Strategic Clean Energy Partnership and the Climate Action and Finance Mobilization Dialogue – the partnership thus offers a plethora of opportunities for climate finance, with both countries keen to demonstrate how the world can align swift climate action with inclusive and resilient economic development.
“Strong financial support and timely policy interventions from the Government of India have played a crucial role in accelerating the growth of the country’s renewable energy sector. But given current rates of penetration and the overall health of the sector combined with slowdown created by the COVID-19 pandemic, the government will have to find new and alternative ways to finance the transition and incentivize private sector participation to scale up investments for a sustainable and transformational impact,” said Mahua Acharya, Jolly Sinha, Shreyans Jain and Rajashree Padmanabhi.
“International finance is also likely to come with ‘green strings’ attached. Therefore, identifying and analyzing key sources of finance, the instruments used for mobilizing and disbursing funds, and their ultimate beneficiaries become critical for diagnosis, planning and monitoring green investments in the country,” the economists wrote in a policy paper for Climate Policy Initiative.