The Reserve Bank of India in its Report on Currency and Finance 2022-23 released on 3 rd May, has shaped it towards Greener and Cleaner India emphasizing the need to focus on the Circular Economy, Green Energy, Carbon Emission Control, towards a net zero target of 2070 set by our PM during COP 26.
Dr. Vijay Kalantri, President of All India Association of Industries, Mumbai has welcomed the clarity from the Central Bank Report that will guide the financial sector to design suitable products to release easy affordable finance to the industry involved in Green and Clean Energy Sector. He sees the horizon is widening in this emerging sunrise sector for mega projects, acquire critical technology, transition from current fossil fuel economy, generate employment and to export power to needy areas. He also sees the need of uniform Tax Economy around the world to facilitate smooth flow of technology, products and products. He feels the entire world should come together to fight this menace of climate change.
He expressed his optimism based on the study of media and industry network the funding potential of this sector is $ 170 billion by 2030. The RBI report envisages that the gap between existing infrastructure and what is required to face serious climate events if any may occur in the future would be about 5.2% of GDP. This requires a minimum additional investment of about 2.5% of GDP to replenish this infrastructure gap by 2030. Dr. Kalantri advocates release of regular Sovereign Green Bonds by Central Bank to attract investments globally.
He is bullish and optimistic of the bright future of Green Energy Sector in India.