New Delhi: Indian Renewable Energy Development Agency Limited (IREDA) signed a memorandum of understanding (MoU) with the Ministry of New and Renewable Energy (MNRE) for setting an annual performance target for the year 2021-22. The MoU has been signed by MNRE Secretary Indu Shekhar Chaturvedi and IREDA's Chairman & Managing Director (CMD) Pradip Kumar Das on Tuesday in the presence of senior officials from MNRE and IREDA.

The Government has set a target Rs 2,749 crores for revenue from operation under 'excellent' rating along with various performance-related key parameters such as return on net worth, NPA to total loans, asset turnover ratio and earning per share etc.

IREDA has been rated 'excellent' for the MoU of the financial year (FY2020-21) with a score of 96.93. The company as on date has financed more than 2,900 renewable energy projects loan accounts with cumulative loan sanction and disbursement to the tune of Rs 1,08,606 crores and Rs 69,951 crores respectively and has supported green power capacity addition of 19,463 MW in the country.

With an additional equity infusion of Rs 1,500 crore by the government, IREDA is poised for exponential growth in the coming years in the renewable energy (RE) sector. IREDA would be able to extend an additional loan facility of Rs 12,000 crores (approx.) and contribute more to the government targets for renewable energy. Post equity infusion of Rs 1,500 crore, IREDA is also planning to come out with an initial public offer (IPO) to meet its further requirement of capital.

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