The International Solar Alliance (ISA) is proposing to set up a $300 billion fund to support clean energy projects in member countries over the next 10 years. “The proposal is to strive for 300 billion dollar global fund over 10 year with contributions from the World Bank … and also from Green Climate Fund to leverage $3,000 billion investment from the corporate sector for meeting investment requirement for solar energy programmes and projects in ISA member countries for the next 10 years,” ISA interim Director General Upendra Tripathy told reporters here.
The ISA is an alliance of more than 120 countries.
The allocation will be notional and will only be backed with 20 per cent of the amount being budgeted. The risk guarantee premium may be 0.8 to 1 per cent and the World Bank may administer it as a commercial project, Tripathy said.
“We are thinking of creating over a period of 10 years 300 billion dollar fund. 300 billion dollar is a big number,” he said. “The idea of ISA is not to ask for cheques not to tell them to deposit money. This…is the cheque of assurance, of commitment, that if somebody has taken the assurance and the claim comes then only you have to settle it…this will attract capital into this sector in the ratio of 1:10.”