The Indian power ministry has proposed for a credit guarantee fund and a renewable energy bank to help countries transitioning from fossil fuel economy to more sustainable mode. Power minister Raj Kumar Singh and European Commission president Ursula von der Leyen at the headquarters of the International Solar Alliance in Gurugram stressed the importance of accelerating the transition to renewable energy.
An idea of International Solar Bank has been floated that will be based in India, the idea of establishing a multilateral development bank for helping poor countries accelerate their growth towards renewables is gaining traction.
Von der Leyen said European countries are looking forward to cooperating with India in the fight against climate change. It is beneficial for both parties as Europe is looking to reduce its dependence on Russian fuel supply and India is working on building up hydrogen plants for the production of green hydrogen as an emission free alternative.
“The problem confronting the globe is not something which can be solved by one country alone, and it is not a problem which will be solved even if 10 or 20 countries reach net-zero (carbon emission). You can’t have a countrywide solution, but worldwide and international solutions," said Singh, who is also the president of the ISA general assembly.