Why in news?
European Investment Bank (EIB) and Indian Renewable Energy Development Agency (IREDA) Ltd. have signed a loan agreement for a second line of credit (LoC) of Euro 150 million on non-sovereign basis.
The line of credit is for tenure of 15 years including a grace period of 3 years, and it will be used for financing Renewable Energy and Energy Efficiency projects in India. More than 1.1 million households are expected to benefit from clean energy produced with these funds.
FACTS FOR PRELIMS
Indian Renewable Energy Development Agency Ltd:
Indian Renewable Energy Development Agency Limited (IREDA) is a Mini Ratna (Category – I) Government of India Enterprise under the administrative control of Ministry of New and Renewable Energy (MNRE).
IREDA is a Public Limited Government Company established as a Non-Banking Financial Institution in 1987 engaged in promoting, developing and extending financial assistance for setting up projects relating to new and renewable sources of energy and energy efficiency/conservation with the motto: “ENERGY FOR EVER”.
To give financial support to specific projects and schemes for generating electricity and / or energy through new and renewable sources and conserving energy through energy efficiency.
To maintain its position as a leading organization to provide efficient and effective financing in renewable energy and energy efficiency / conservation projects.
To increase IREDA`s share in the renewable energy sector by way of innovative financing.
Improvement in the efficiency of services provided to customers through continual improvement of systems, processes and resources.
To strive to be competitive institution through customer satisfaction.
SOURCE – PIB.