IREDA may raise Rs 2,000 crore via tax-free bonds

New Delhi: State-run Indian Renewable Energy Development Agency is expected to raise Rs 2,000 crore through tax-free bonds to support the roof top solar initiatives of the government, PHDCCI said. "IREDA is likely to raise tax-free bonds worth Rs 2,000 crore from markets to support the solar initiatives of the government in the next few months in a bid to lend soft loans to developers to accomplish the roof top solar mission of the government," industry body PHDCCI on May 8 said.

The government has approved an amount of Rs 5,000 crore for raising tax-free bonds to support and sustain its solar initiatives through various agencies a couple of days ago, of which "IREDA is assigned an amount of Rs 2,000 crore for the job," it said in a statement quoting Tarun Kapoor (Joint Secretary), Ministry of New and Renewable Energy.

Kapoor was addressing a Solar Power Summit-2015 organised by the chamber here. The Joint Secretary also said that IREDA will lend soft loans at the rate of about 10.5 per cent to developers to install roof top solar panels to publicise the solar roof top mission of the government. He, however, did not disclose the details of remaining Rs 3,000 crore, it added.

"In the current fiscal, the government would be contented if solar projects of 2,000-3,000 MW are implemented," said Kapoor. He added, NTPC would soon issue tenders for solar power projects of 15,000 mw capacity and emphasized that public sector utilities would have little role in adding power through non conventional means as the government would want the private sector to play a major role.