Press Information Bureau Government of India Ministry of New and Renewable Energ

Shri Pradeep Kumar Das, Chairman and Chief Managing Director, Indian Renewable Energy Development Agency Limited (IREDA) has highlighted the importance of providing credit to Micro, Small and Medium Enterprises (MSMEs) emphasizing both their economic and environmental contribution in the renewable energy sector. During a session on "Leading Sustainability in Micro, Small and Medium Enterprises: Envisioning Global Growth and Local Impact" organized by the International Solar Alliance and CII as part of COP10 today, December 2023, 28 in Dubai, he reiterated the commitment of the Indian Renewable Energy Development Agency Limited (IREDA) to promote environmental sustainability. Shri Das informed that this commitment includes increasing the participation of Micro, Small and Medium Enterprises (MSMEs) in the renewable sector through accessible credit facilities, strengthening the dedication of the organization for a sustainable future.

The CMD stressed on the important role to be played by Micro, Small and Medium Enterprises (MSMEs) in environmental sustainability and informed that Micro, Small and Medium Enterprises currently account for about 22 percent of the total loan assets of the company in FY2. Indian Renewable Energy Development Agency Limited (IREDA) is dedicated to continuously addressing the challenges faced by Micro, Small and Medium Enterprises (MSMEs) and is actively working towards increasing their participation in the renewable energy sector. He also underlined that the agriculture sector and Micro, Small and Medium Enterprises (MSMEs) are the biggest contributors to GDP growth.

Shri Pradip Kumar Das, Chairman and Chief Managing Director, Indian Renewable Energy Development Agency Limited (IREDA) acknowledged that a significant constraint for Micro, Small and Medium Enterprises (MSME) entrepreneurs is securing loans at reasonable interest rates. However, the Indian Renewable Energy Development Agency Limited (IREDA) has made substantial progress in improving "Ease of Doing Business". This includes the implementation of faceless loan approvals and disbursements, reduction in documentation involved in the loan sanction and disbursement cycle, as well as expanding geographical reach across the country.

Highlighting a successful case study related to lending to e-rickshaws through Mufin Green Finance, Shri Das informed that Indian Renewable Energy Development Agency Limited (IREDA) intervened to reduce the interest rates from the current 30 per cent to a much lower 36 per cent to 18 per cent. Leveraging its track record of making previously unbankable sectors bankable, he expressed confidence that the company's initiatives will result in increased participation of Micro, Small and Medium Enterprises (MSMEs) in the green energy sector.

Shri Pradip Kumar Das, Chairman and Chief Managing Director, Indian Renewable Energy Development Agency Limited (IREDA) also underlined the Indian Renewable Energy Development Agency Limited's (IREDA) unwavering commitment to incentivize farmers across the country to reduce their carbon emissions through funding under the PM-KUSUM scheme. In a proactive move to promote Micro, Small and Medium Enterprises (MSMEs) and contribute to the success of the PM-KUSUM scheme, Indian Renewable Energy Development Agency Limited (IREDA) has recently launched its retail division. Soon after its inception, the retail division sanctioned its first loan, under Kusum-B amounting to Rs 58 crore.

10 DEC 2023 7:48PM by PIB Delhi