Indian state secures $35 billion renewable energy agreement with UAE
Landmark deal to develop solar, wind, and hybrid energy in Rajasthan, advancing India’s green energy goals
Rajasthan and UAE Sign $35 Billion Deal for 60 GW Renewable Energy Project
New Delhi: Rajasthan, India’s largest state by area, has signed a $35 billion investment deal with the UAE government to explore the development of a 60 GW solar, wind and hybrid energy project.
Rajasthan’s Industries Principal Secretary Ajitab Sharma and UAE Investment Minister Mohammad Hassan Al-Suwaidi signed the MoU for investment in the state capital Jaipur on Tuesday.
Under the deal, the UAE will help set up renewable energy projects in Rajasthan’s western district, the state government said in a statement. India’s largest desert, the Thar, is located in this region.
“This initiative will be a milestone in meeting the energy needs of Rajasthan by establishing a long-term power generation project that will utilize modern state-of-the-art technology,” the Rajasthan government said.
The UAE will appoint a developer to coordinate with Rajasthan authorities and start the project within an agreed timeframe, which was not specified.
Currently, India, the third-largest electricity consumer in the world, has 200 GW of installed renewable energy. In order to reach net-zero emissions by 2070, it plans to install 500 GW of renewable energy by 2030.
To achieve this, 250 GW solar plants need to be installed in Rajasthan. During the signing ceremony, Rajasthan Chief Minister Bhajan Lal Sharma said, “This partnership with the United Arab Emirates will be an important step towards achieving this goal.”
He also thinks the new agreement will help the local economy grow.
“I am confident that this MoU will pave the way for employment generation, economic development, industrial progress and overall prosperity in Rajasthan,” Sharma said.
During his meeting with Rajasthan officials, Al-Suwaidi said energy transition is a key pillar of the UAE’s diversification agenda.
Al-Suwaidi stated, “This project highlights our unwavering commitment to advancing clean energy solutions,” according to WAM, the state news agency of the United Arab Emirates.
“Rajasthan, with its favorable climate and vast terrain, provides an ideal environment for this initiative, serving as a testing ground for innovative technologies that will shape the future of energy,” he said.
Bilateral relations between India and the UAE have strengthened significantly since the signing of the Comprehensive Economic Partnership Agreement in 2022.
According to Indian government data, the UAE is India’s largest Middle East investor with investments of around $3 billion in the fiscal year 2023-2024.
