IREDA, Union Bank of India, and Bank of Baroda unite to extend renewable energy financing

Indian Renewable Energy Development Agency Ltd. (IREDA) has entered into Memorandums of Understanding (MoUs) with Union Bank of India (UBI) and Bank of Baroda (BoB) on September 5, 2023. These partnerships aim to facilitate co-lending and loan syndication for a broad array of renewable energy projects. The MoUs intend to enhance renewable energy financing and contribute to sustainable development in India, including both well-established and emerging renewable energy technologies.

New Partnerships to Accelerate Renewable Energy Financing

The MoUs have been designed to bolster the renewable energy sector in India by allowing IREDA to collaborate closely with UBI and BoB. These agreements are particularly significant in the context of increasing renewable energy projects and aligning with the vision of Atmanirbhar Bharat, as stated by IREDA’s CMD, Pradip Kumar Das.

New MoUs Inked Between IREDA and Major Indian Banks Aim to Scale Renewable Energy Financing. Photo courtesy of PIB DELHI | Alok / Dheep.

Memorandums of Understanding Details

The MoU between IREDA and Union Bank of India was signed by General Manager (Technical Services), IREDA, Bharat Singh Rajput, and General Manager (Large Corporate Vertical), UBI, Dhirendra Jain. The ceremony included the presence of senior officials and CEOs from both entities. In a parallel fashion, the agreement with Bank of Baroda was signed by IREDA’s General Manager (Technical Services), Shri Bharat Singh Rajput, and BoB’s General Manager, Shri Dhiren Lalai, in the presence of top-level officials.

Statements from IREDA and Bank Officials

Pradip Kumar Das, CMD of IREDA, commented, “Both Union Bank of India and Bank of Baroda have an extensive nationwide presence with a vast network of branches. This collaboration aims to extend our reach, particularly in tier-2 & tier-3 cities and rural areas, enabling us to provide unique and innovative financial support to existing and new customers. We are confident that by combining our strengths and resources, we will continue to serve our customers in alignment with the vision of the Prime Minister for Atmanirbhar Bharat and sustainable growth.”

Wider Reach and Objectives of the Collaboration

IREDA’s new partnerships intend to leverage the vast branch networks of UBI and BoB, especially in tier-2 and tier-3 cities, as well as rural areas. The aim is to extend unique and innovative financial support to existing and new customers in these regions. The MoUs are a part of IREDA’s ongoing efforts to form collaborations with various Central and State agencies and financial institutions, capitalizing on its techno-financial expertise for the development of the renewable energy sector.