Home > Current Affairs > State > IFC to invest $105 million in Brookfield's Bikaner Solar Power project

IFC to invest $105 million in Brookfield's Bikaner Solar Power project

Utkarsh Classes Last Updated 22-06-2024
IFC to invest $105 million in Brookfield's Bikaner Solar Power project Rajasthan 5 min read

The International Finance Corporation (IFC) has agreed to invest $105 million (around Rs 871 crore) in the non-convertible debentures of Brookfield's Bikaner Solar Power project in Rajasthan. IFC is a company of the World Bank Group which provides finance to the private sector companies.

Brookfield’s Solar Project in Bikaner 

Brookfield Global Transition Fund (BGTF) is building a 550 MW solar power project in Bikaner in two phases. The Brookfiled commissioned the first phase of the Bikaner solar power project 268 MW in March 2024. In the second phase the capacity of the solar power project is 282 MW taking the combined power generation capacity to 550 MW. The estimated cost of the second phase is estimated to be USD 317 million. 

BGTF is an equity investor and has set up a Special Purpose Vehicle (SPV) to execute the project. The 80 percent of the BGFT holdings is owned by Brookfield Asset Management and 20% owned by Brookfield Renewable.

The Bikaner Solar project is connected to the country’s interstate transmission system section of India's green energy corridor. The project will supply green energy to commercial and industrial customers under long-term power purchase agreements, and will also sell energy on the merchant market via power exchanges. 

The Bikaner solar project is expected to reduce greenhouse gas (GHG) emissions by 804,408 tons of carbon dioxide every year.

At present Brookfield has a portfolio of more than 25 Giga Watt of renewable power assets in operation and in development in India.

Commitment to non-fossil fuel power projects in India  

The government of India is committed to achieving net zero carbon emissions by 2070.  To achieve this target, the government has set a target to increase its non-fossil fuel-based power producing capacity to 500 Giga Watt by 2030.

Fossil fuels like coal, petroleum oil etc are a major course of carbon emission which in turn increases the earth temperature and is responsible for global warming and climate change. To reduce the consumption of fossil fuels and consequently the emission of carbon government’s around the world are promoting non- fossil sources of energy like solar,wind, hydel projects etc.

The government of India is also trying to attract private investment in the non-fossil-based power sector. 

India has attracted around USD 10 billion in annual investments between 2017 and 2022. The country is expected to attract annual investments of USD 25 billion through 2030.

International Finance Corporation 

The International Finance Corporation was set up by the World Bank in 1956 to support the private sector of the developing countries who are members of the World Bank.

The IFC invests in the private sector by investing in their capital instruments like shares or debt instruments like debentures.

IFC is a part of the World Bank group, which also includes the International Bank for Reconstruction and Development (IBRD) and the International Development Association.

The International Bank for Reconstruction and Development (IBRD) provides loans to the World Bank's member countries for development purposes.

The International Development Association provides loans to only the least developed member countries of the World Bank at a concessional rate for development purposes.

The headquarters of IFC: Washington D.C. the United States of America

Managing Director: Makhtar Diop.

Members: 186 countries.


Answer: International Finance Corporation.

Answer: Washington, D.C., in the United States of America.

Answer: International Finance Corporation.

Answer: Makhtar Diop

Answer: 500 MW.
Leave a Review

Utkarsh Classes

Download India's Best Educational App

With the trust and confidence that our students have placed in us, the Utkarsh Mobile App has become India’s Best Educational App on the Google Play Store. We are striving to maintain the legacy by updating unique features in the app for the facility of our aspirants.