ADB to Invest in Asian Solar Market

3 May 2010 (Last Updated May 3rd, 2010 18:30)

The Asian Development Bank (ADB) has launched an initiative to generate about 3,000MW of solar power by 2012 in the Asia and Pacific region. The ASEI plans to identify and develop large-capacity solar projects to meet the target and provide $2.25bn to generate an additional $6.75bn in s

The Asian Development Bank (ADB) has launched an initiative to generate about 3,000MW of solar power by 2012 in the Asia and Pacific region.

The ASEI plans to identify and develop large-capacity solar projects to meet the target and provide $2.25bn to generate an additional $6.75bn in solar power investments over the same period.

ADB managing director general Rajat Nag said that with energy demand projected to almost double in the Asia and Pacific region by 2030, there is an urgent need for innovative ways to generate power while at the same time reducing greenhouse gas emissions.

"Given Central Asia’s growing demand for electricity, the availability of desert land for large-scale solar energy development, and their stated commitment to offset high carbon emissions, several countries in the region are excellent candidates for ADB support through this initiative," Nag said at a press conference at ADB's 43rd Annual Meeting in Tashkent, Uzbekistan.

The initiative will offer projects, finance and knowledge sharing mechanisms to attract commercial banks and the private sector to invest in the projects.

The solar initiative will also set a target to raise $500m from donor countries to buy-down the high capital costs for solar projects and design other ways to attract private-sector investment.