menu
Menu
Corporate
profiles
 
Back to list
27
Jan
2016

Solar power: Indian CCI and Terrawatt Initiative seeking a global and affordable common market

On January 25, the Federation of the Indian Chambers of Commerce and Industry (FICCI) and the Terrawatt Initiative executed an unprecedented agreement for a global common market of affordable solar power. This cooperation is a significant step towards Terrawatt Initiative’s goal: to address energy access and climate change issues through investment in solar power on a massive scale.

The Terrawatt Initiative is a global non-profit association aimed at establishing the proper regulatory conditions and infrastructures for a massive deployment of competitive solar generation. Its objective: reaching 1 terawatt (1,000 gigawatts) of additional solar power capacity by 2030.

  • The International Solar Alliance, launched on November 30, 2015 by Shri Narendra Modi, Prime Minister of India and Mr. François Hollande, President of France, at the opening of the Climate Conference (COP21) in Paris.

The Federation of Indian Chambers of Commerce and Industry (FICCI), Secretary General, Didar Singh and Gérard Mestrallet, Chairman and CEO of ENGIE – founding member of Terrawatt Initiative – executed on January 25th a Memorandum of Understanding for a global common market of affordable solar power at Federation House, in Delhi. The signing of this agreement comes during the French President, François Hollande’s visit and in the presence of the Finance Minister of France, Michel Sapin.

FICCI and Terrawatt Initiative jointly acknowledged that:

  • Solar photovoltaic is now the most competitive power generation technology to achieve the climate and development capacity building goals implied by the Paris Agreement on Climate Change, adopted in December 2015, and by the Sustainable Development Goals by the United Nations, adopted in September 2015. Solar power can provide clean and affordable power to an ever larger share of the population. However, it implies a volume and speed of development as well as a flow of affordable capital which are not achievable under the current market and regulatory frameworks.
  • Terrawatt Initiative is developing, with its partners, the International Renewable Energy Agency (IRENA): the guidelines for a new market and regulatory global framework to engage with governments and achieve the necessary solar massive scale-up as soon as possible – in the most efficient way.
  • The International Solar Alliance, launched on the November 30, 2015 by Shri Narendra Modi, Prime Minister of India and Mr. François Hollande, President of France, at the opening of the Climate Conference (COP21) in Paris, can become one of the key political instruments of the implementation of the Paris Agreement and the appropriate forum to discuss, agree and implement the most effective framework for solar energy.

Moving towards competitive solar power generation across the world

“Countries have an opportunity to benefit from abundant and affordable solar power, and reap these benefits,” said Gérard Mestrallet. “We look forward to cooperating with FICCI, to facilitate the financing of solar energy projects through appropriate instruments and vehicles, as well as innovative events and communication and so promote a common market of affordable solar power at global level” he added.

To achieve this objective, FICCI and Terrawatt Initiative jointly declared their intention to cooperate on the following matters:

  • Joint interaction with the International Solar Alliance (ISA) as well as with the Indian and French governments on the ISA’s programs dedicated to reduction of the cost of financing, including standardization, aggregation, de-risking, rating and securitization.
  • Market and framework design in order to integrate the vision of the Indian businesses
  • Expansion of the RE-Invest concept in other ISA member countries and regions and particularly in Africa

The agreement was later presented at the Indian Prime Minister Residency to François Hollande and Shri Narendra Modi.

Back to list