Priority-sector lending status to be sought for renewables advances
NEW DELHI: The Renewable Energy Ministry will approach the Reserve Bank of India seeking priority-sector lending status for the solar and wind energy sector. RK Singh, Minister of State (Independent Charge) for New and Renewable Energy, said this in the Capital on Wednesday.
He was speaking at a conference that sought to iron out the concerns and apprehensions of renewable energy sector players and lenders.
Project developers at the meeting highlighted difficulties in land conversion by States and delays in the mortgage/securitisation process with lenders.
Not only were Discoms delaying the payments to solar and wind energy producers, they also demand rebates on the final payments, it was flagged. The instances of a forced back down (not buying power) of operational solar plants by Discoms were also pointed out.
Source: thehindubusinessline
