Germany's KfW Entwicklungsbank has agreed to extend a loan of €250m ($358m) to construct the biggest solar power park in India.
The loan will be granted to the Maharashtra State Power, the developer of the 125MW Shivajinagar Sakri plant, with a provision to expand up to 150MW, reports Bloomberg.
The total cost of the plant is expected to come to €370m ($530m), €120m ($172m) of which will be contributed by Maharashtra State Power Generation Company.
Upon completion, the plant will be capable of generating electricity sufficient to power 400,000 homes.
In an attempt to reduce the carbon dioxide emissions, India plans to achieve 20,000MW of solar capacity by 2022.