ISA PLAN ESTBLISH WORLD SOLAR BANK .

DELHI: The International Solar Alliance (ISA) plans to launch the World Solar Bank (WSB) at the COP26 United Nations Climate Change Conference in Glasgow in November 2021.

This will help India’s attempt to lead global climate action and the development of a green economy. 

 The ISA is the first treaty-based international government organization headquartered in India.

International solar aliance(ISA) is a  alliance of 121 countries.

Its aims to work for efficient consumption of solar energy and reduce dependence on fossil fuels.

Its headquater on india Gurugram, 

There are two major credit partner of the ISA -

• European Investment Bank (EIB) 

Asian Development Bank (ADB).

 ISA is the nodal agency for implementing India’s global electricity grid plan – One Sun One World One Grid (OSOWOG).  It seeks to transfer solar power generated in one region to feed the electricity demands of others. 

 Some regions of the tropical world (like the Thar and Sahara desert) are sparsely populated and receive huge amounts of solar radiation. 

 Solar power generated in these regions can be transmitted by grids to densely populated areas, where it is difficult to set up solar projects.

At the COP 26 at Glasgow, the India led ISA plans to launch: 

1. Green Grid Initiative – a joint effort of ISA and Climate Parliament to encourage all member countries to emulate India’s GEC and integrate them to OSOWOG.

 2. Sun Charter

 3. World Solar Bank

The proposed financing agency is aimed to pool resources from across the globe and use them to fund solar power projects in ISA member countries. 

• The proposed capital size of the World Solar Bank would be $10 billion.

 • ISA officials said the country that would request to host the headquarters of the bank would have to contribute 30 % of the proposed capital.

The development of a World Solar Bank is crucial because financing for green energy projects will be the priority topic at the upcoming COP26 (Conference of Parties) Summit at Glasgow.

The President of COP26 – British Cabinet Minister Alok Sharma – visited India on 15th February 2021, and met:

•  PM Modi,
•  Environment Minister Prakash Javadekar, 
• External Affairs Minister S. Jaishankar, 
• MNRE Minister Raj Kumar Singh, and 
• G20 and G7 Sherpa Suresh Prabhu. 

 In the Paris Agreement, India has set a target of achieving 40% of its total electricity generation from non-fossil fuel sources by 2030. • Till September 2020, India had installed a solar capacity of 36 GW.

India's target:

The Jawaharlal Nehru National Solar Mission (JNNSM) 2010, is a part of India’s National Action Plan on Climate Change (NAPCC). 

• Target = 100 GW installed capacity of solar electricity by 2022. 

• Generation Based Incentives were introduced for small grid solar projects below 33 kW.

 • GBIs are for bridging the gap between a base tariff of ₹5.5 and the tariff put in place by the Central Electricity Regulatory Commission (CERC) as a fiscal incentive.