EIB Global, the development arm of the European Investment Bank (EIA), has committed an investment of up to $60m to the India Energy Transition Fund managed by EAAA Alternatives. 

This fund focuses on renewable energy, energy efficiency, and electric vehicles to support India's decarbonisation goals. 

The announcement was made in New Delhi by EIB vice-president Nicola Beer alongside EAAA Alternatives CEO Subahoo Chordia. 

This initiative is claimed to mark India's first energy transition fund managed by a domestic fund manager. 

The fund, which is looking to raise $300m by the end of this year, will direct equity and quasi-equity into greenfield infrastructure projects, as well as growth-stage companies. 

EAAA Alternatives intends to invest approximately Rs400bn ($4.52bn) in India's clean energy sector over the next four to five years, with a focus on developing around 8GW of projects, reported Reuters.  

Additionally, the fund has the potential to support circular economy industries, including recycling and wastewater management. 

Beer said: “India is one of Europe’s most important partners in the global green transition. By joining forces with the India Energy Transition Fund, we are helping to accelerate renewable energy, strengthen energy security and affordability, and unlock sustainable infrastructure investment across the country.  

“This initiative shows how EIB Global, as part of the EU Global Gateway strategy, mobilises capital to deliver real climate action, better conditions for households and lower energy prices.” 

EAAA Alternatives CEO Subahoo Chordia said: “We are delighted to welcome EIB Global as a cornerstone investor in the India Energy Transition Fund. India’s energy transition is both a priority of the country and an attractive investment opportunity. At EAAA Alternatives, we are focused on building sustainable assets through disciplined investing and strong asset management.  

“EIB Global’s partnership adds depth and credibility to this effort, helping us accelerate India’s clean energy and decarbonisation journey while delivering long-term value for investors. Together, we will foster innovation, attract further private capital, and drive long-term sustainable growth.” 

The initiative seeks to facilitate opportunities for technology and investment exchanges between India and the EU.

India aims to double its nonfossil-fuel power generation capacity to 500GW by 2030.