IREDA to support Bhutan’s renewable energy projects within frameworks: CMD IREDA

Speaking at the ‘Bhutan-India Renewable Energy Roundtable’, held in Thimphu Pradip Kumar Das emphasised a comprehensive evaluation approach for project funding, which would ensure robust and sustainable financing solutions tailored to the specific needs of Bhutan’s energy sector.

The Bhutan-India Renewable Energy Roundtable, held in Thimphu, served as a crucial platform for enhancing collaboration between the two nations in the realm of renewable energy. Pradip Kumar Das, Chairman & Managing Director of the Indian Renewable Energy Development Agency Limited (IREDA), represented India during a pivotal discussion focused on “Access to Financing for Renewable Energy Projects.” This event was organised by the Government of India in partnership with the Government of Bhutan, aiming to foster deeper cooperation in renewable energy initiatives.

During his address, Das expressed IREDA’s readiness to support Bhutan’s renewable energy projects within the regulatory frameworks established by the Reserve Bank of India (RBI) and the Ministry of New and Renewable Energy (MNRE). He emphasised a comprehensive evaluation approach for project funding, which would ensure robust and sustainable financing solutions tailored to the specific needs of Bhutan’s energy sector. This commitment underscores IREDA’s dedication to fostering an environment conducive to renewable energy growth in Bhutan.

Das highlighted several key aspects of IREDA’s financing capabilities, such as competitive interest rates and extended loan tenures, which are essential for the successful execution of renewable energy projects. He pointed out that IREDA’s extensive experience in the renewable sector could play a vital role in propelling Bhutan’s renewable energy development, particularly by recommending the expansion of rooftop solar initiatives alongside the country’s existing hydropower infrastructure. He stressed that modern renewable projects often require debt financing at competitive rates, shifting away from traditional reliance on grants.

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Additionally, Das noted a significant development in the classification of large hydropower as renewable energy. This classification allows IREDA to finance substantial hydropower projects, further supporting Bhutan’s clean energy objectives and contributing to the country’s sustainable energy future.

The roundtable also featured participation from S.K. Dey, General Manager (Projects) at IREDA, who contributed to the session titled “Role of Solar Energy in Energy Mix.” He underscored the importance of blended financing models for the successful development of solar energy projects in Bhutan, advocating for innovative financial solutions to enhance the renewable energy landscape in the region.

Overall, the discussions at the Bhutan-India Renewable Energy Roundtable reflected a shared commitment to fostering a sustainable energy partnership, leveraging financial expertise, and exploring diverse renewable energy avenues for mutual benefit.