PIB Summary- 19th April, 2024 | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

IREDA's GIFT City office to boost Green Hydrogen and Renewable Energy Manufacturing Projects

Context

IREDA opens a foreign currency debt office in GIFT City, Gandhinagar, to reduce financing costs for green hydrogen and renewable energy projects, aiding India’s transition to a greener future.

Additional information on this news:

• Indian Renewable Energy Development Agency Ltd. (IREDA) has inaugurated an office in GIFT City, Gandhinagar, focusing on foreign currency-denominated debt options.
• This move aims to reduce financing costs for Green Hydrogen and Renewable Energy Manufacturing projects by facilitating natural hedging.
• Chairperson & Managing Director of IREDA, Shri Pradip Kumar Das, highlighted this strategic initiative at the World Future Energy Summit 2024 in Abu Dhabi.
• He emphasised the crucial role of energy storage in achieving India’s ambitious target of over 5 million metric tons per annum (MTPA) Hydrogen production by 2030.
• Key priorities outlined include enhancing R&D efforts to reduce costs and improve performance, strengthening the supply chain network, and providing competitive financial solutions.
• India has taken proactive measures such as formulating a storage requirement roadmap, technology-agnostic tenders, and supportive government interventions.
• The Central Electricity Authority of India projects a storage requirement of nearly 400 gigawatt-hours (GWh) by 2030-32, with significant investment estimated at over Rs. 3.5 lakh crores.
• IREDA remains committed to supporting the deployment of energy storage technologies in India through innovative financing solutions.

What is GIFT City, Gujrat?

• Gujarat International Finance Tec-City (GIFT City) is a global financial and technology hub located in Gujarat, India.
• It is India’s first operational smart city and International Financial Services Centre (IFSC).
• GIFT City aims to provide a world-class infrastructure for finance and technology-related businesses.
• The city is strategically located between Ahmedabad and Gandhinagar, with close proximity to major ports and airports.
• GIFT City offers state-of-the-art infrastructure, including office spaces, residential complexes, commercial buildings, and social amenities.
• It operates under a special regulatory framework designed to attract international financial services firms.
• GIFT City facilitates offshore banking, insurance, capital markets, and other financial services activities.
• The city is equipped with modern amenities such as 24/7 power supply, reliable connectivity, and advanced security systems.
• It serves as a platform for fostering innovation, collaboration, and growth in the financial and technology sectors.
• GIFT City plays a key role in India’s ambition to become a global financial hub and contributes to the country’s economic development and international competitiveness.