By Abdullahi Lukman
Madhya Pradesh is set to attract up to $1 billion in private investment for renewable energy projects with support from the Asian Development Bank (ADB), following the signing of its first transaction advisory services agreement in India.
Under the agreement signed with the Madhya Pradesh government in Bhopal, ADB will act as a transaction adviser for three renewable energy projects to be developed through public-private partnerships.
One of the key projects involves a solar power and battery energy storage facility in Shajapur, designed to meet peak electricity demand, improve grid stability and provide reliable power when solar generation is unavailable.
The projects are aligned with the Madhya Pradesh Renewable Energy Policy 2025, which aims to increase renewable energy and storage capacity so that renewable sources can meet 50 per cent of the state’s electricity demand by 2030.
The state policy also seeks to attract ₹50,000 crore in renewable energy generation investment by 2027, alongside ₹10,000 crore for renewable energy equipment manufacturing. It also provides incentives for upgrading technology and repowering existing renewable energy projects.
ADB said its transaction advisory services are intended to help governments prepare, structure and procure financially viable public-private partnership projects using international best practices.
The bank has worked with Madhya Pradesh for more than 25 years and continues to support its development priorities, including energy infrastructure.
ADB Country Director for India Mio Oka said public funding alone would not be sufficient to meet India’s rising energy demand, making it necessary to create projects capable of attracting private capital.
He said the partnership would help Madhya Pradesh develop bankable PPP projects, attract private investment and establish scalable models for clean energy infrastructure.
