The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Wednesday approved the equity infusion of Rs 1,500 crore in Indian Renewable Energy Development Agency Limited (IREDA).
The Cabinet also approved the payment of ex-gratia amount of Rs. 973.74 crore pertaining to remaining claims submitted by Lending Institutions and approved extension of National Commission for Safai Karmchairs (NCSK) for three years.
Briefing media, Information and Broadcasting Minister Anurag Thakur said that infusion of Rs.1500 crore in IREDA will generate approximately 10200 jobs per year and CO2 equivalent emission reduction of approximately 7.49 Million Tonnes CO2/year. “To lend Rs.12000 crore approximately to the RE sector, thus facilitate the debt requirement of RE of additional capacity of approximately 3500-4000 MW.
To enhance its networth which will help it in additional RE financing, thus contributing better to the Government of India targets for RE. To improve the capital-to-risk weighted assets ratio (CRAR) to facilitate its lending and borrowing operations,” said Government in a statement.
“ By granting ex-gratia payment of difference between compound interest and simple interest during the six month moratorium period to distressed/vulnerable category of borrowers, irrespective of whether the borrower had availed of moratorium or not, the scheme would equitably help small borrowers bear the stress on account of the pandemic and get back on their feet.
Operational guidelines for the scheme are already issued with the approval of the Cabinet. The said amount of Rs. 973.74 crore will be disbursed in accordance with the said operational guidelines,” said Government.