An agreement extending a US$ 100 million Line of Credit (LOC) to Sri Lanka for projects in the solar energy sector, signed between the Government and the Export-Import Bank of India, was exchanged by the High Commissioner of India to Sri Lanka, Gopal Baglay and the Secretary to the Treasury, S.R. Attygalle last week. President Gotabaya Rajapaksa was also present. This LOC will help finance various projects in the solar energy sector in Sri Lanka, including those announced during the Founding Conference of the International Solar Alliance (ISA) held in March 2018, such as rooftop solar photo-voltaic systems for households and government buildings.
Over 88 countries, including Sri Lanka, have signed the Framework Agreement of the ISA, which was jointly launched by the Prime Minister of India and the President of France, to bring together countries to promote large-scale deployment of solar energy and overcome challenges related to technology, finance and capacity.
President Gotabaya Rajapaksa and High Commissioner of India discussed the striking similarity in the national objectives outlined by India and Sri Lanka in connection with solar energy. Over the past seven years, solar power generation in India has increased significantly to reach 34.6 GW in 2021 from about 2.6GW in March 2014. The National Solar Mission of India aims to increase it further to 100 GW and beyond.
“The shared vision of our countries in the renewable energy sector reflects our common national priorities and convergence of approaches for sustainable development. Strengthening collaboration in this vital sector will help enhance our overall energy partnership and contribute towards our global efforts to tackle climate change and reduce emissions,” the High Commissioner said.