Our Bureau
Mumbai
There was a report announced by a clean industry alliance that stated that India’s clean industrial projects pipeline which was worth 89 billion dollars is now facing financing struggles. The reports have claimed that as of now only one project has reached the decision of a final investment in the past six months.
As of now, India has a total of 41 clean industry projects in running. These projects span over green ammonia, hydrogen production and sustainable aviation fuels. The report by Mission Possible Partnership and Industrial Transition Accelerator stated that these projects are struggling to convert announcements into operational facilities.
The report has stated that India is lacking behind heavily in terms of committed investments. The country has secured 13 billion dollars while China and the United States of America are miles ahead of India. China has collected $61 billion while the USA has $52 billion.
It was also being reported that the global pipeline of investments which is about $1.6 trillion has only been announced but has not been financed. Out of 826 only 692 commercial-scale clean industrial projects spread across 69 countries still await financing.
“Less than 15 projects are currently reaching (a) final investment decision every year, delaying the climate, economic and social benefits associated with clean industrial developments,” the report claimed.
Faustine Delasalle, the Chief Executive Officer of Mission Possible Partnership, stated that the major bottleneck that has slowed the investments for India is the off-pace development of clean commodity markets at the right price point.
The CEO stated, “The higher costs of capital is an issue stifling investment across emerging and developing economies. We need to leverage the growing appetite from development and private finance institutions for clean industry developments.”
