Reliance secures funds for 40mw solar plant in India

India-based energy company Reliance Power (RPower) has secured funding worth Rs400 crore (UD87m) from US Ex-Im Bank for the construction of a 40mw photovoltaic (PV) plant in Rajasthan. The new facility is expected to become operational by March 2012, according to the Economic Times.

An unnamed US supplier has been contracted to supply modules for the site and a purchase power agreement has been signed with Reliance Infrastructure.

The solar sector in India is expected to experience rapid growth in the next few years as the government has unveiled ambitious plans to produce 20gw of power from solar by 2022.

It recently marked a milestone in this goal by approving purchase power agreements for 35 ventures with a combined capacity of 615mw.

At the end of August the European Investment Bank gave a €200m (285.5 million) loan for the development of renewables in the country with a particular focus on solar.