On August 10, 2021, the Ministry of New and Renewable Energy (MNRE) virtually launched Loan Interest Subvention scheme wherein financial assistance will be provided for waste to energy projects in the country. This scheme is launched with support and collaboration with The United Nations Industrial Development Organization (UNIDO) through Global Environment Facility (GEF). This scheme is for providing finance to bio-methanation projects in the country. Such projects are costly and capital intensive. Thus, efforts are usually made to reduce the costs and improving overall energy output. It tends to focusing on innovations in the conversion of urban and industrial organic waste to industrial renewable energy. It aims at promoting energy regeneration through bio-methanation projects.
|Scheme||Loan Interest Subvention Scheme|
|Scheme By||Ministry of New and Renewable Energy, Government of India|
|Collaboration with||United Nations Industrial Development Organization (UNIDO)|
|Launch Date||August 10, 2021|
|Benefit To||Industrial organic waste-to-energy bio-methanation projects|
|Benefit||Financial assistance through loan interest subvention|
|Major Objective||To provide financial assistance to the waste to energy projects for reducing the loan interest burden thereby promoting energy generation.|
Scheme Objectives and Benefits:
- The main objective of this scheme is to provide financial assistance by the way of loan interest subvention.
- It aims at supporting the organic and industrial waste to industrial renewable energy projects.
- This scheme will lessen the burden of loan interest to be paid against loans taken for such projects.
- It tends to reduce the operating and other costs of such bio-methanation projects and thereby increasing the energy generation
- This scheme will promote innovations in processes of reducing project costs
- It tends to improve and promote industrial renewable energy generation in the country.
- Loan Interest Subvention scheme is launched by The Ministry of New and Renewable Energy, Government of India in collaboration with The United Nations Industrial Development Organization (UNIDO) on August 10, 2021.
- This scheme is launched through Global Environment Facility (GEF).
- Under this scheme finance assistance through loan interest subvention will be provided to bio-methanation projects in the country.
- It will lessen the burden of loan interest to be paid against loans taken for implementation of such bio-methanation projects.
- This scheme intends to promote innovation in improving overall energy output in the country.
- It also aims at reducing the operation and other project costs.
- Scheme will lead to increased establishment cost of the project but eventually it will reduce the costs of the projects in the long run.
- In line with this scheme an GIS- Geographic Information System based inventory tool is also launched to keep a check on the waste generated and its energy potential.
- Efforts are made by the government to ensure energy generation and regeneration in the country.
- Through this scheme, support by the way of financial assistance will be provided to the industrial organic waste to renewable energy projects in the country.