(MENAFN- Live Mint)

New Delhi: The European Investment Bank (EIB) is stepping up its presence in India's green transition, using its capital and expertise to plug financing gaps in clean energy, sustainable transport and water infrastructure, top official at the multilateral financial agency told Mint on Thursday. The broad aim is to make lives better, more sustainable and inclusive.

By investing in the country's green funds and projects from metro systems to battery storage, the EU's lending arm aims to accelerate India's 2070 net-zero journey, while crowding in private capital and creating employment, EIB's vice-president Nicola Beer said in an email interview.

“In areas like battery storage, electric vehicles, and the circular economy, the EIB can support both individual projects and platforms with a pipeline of new developments. It's also able to provide last-mile funding to get projects over the finish line or revive those that have stalled due to capital shortfalls," Beer said.

The EIB looks to help India achieve its climate ambitions while creating jobs, improving public health and spurring private investment in green technologies, she said.

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A cornerstone of this strategy is the India Energy Transition Fund, in which EIB Global has invested $60 million. The fund aims to unlock growth capital for renewable energy, energy efficiency, and electric mobility projects, especially in sectors where access to financing remains limited.

Acting as a catalyst investor, the EIB expects to crowd in additional private capital and de-risk early-stage projects critical to India's clean energy rollout.

Sustainable growth

“The India Energy Transition Fund, meanwhile, is all about scaling up renewables, energy efficiency, and circular economy solutions, which are central to India's net-zero ambitions," Beer said, adding that it also targets investment opportunities in storage, EV supply chains, and circular economy ventures that typically focus on sustainability and a 'reduce-reuse-recycle' approach.

Looking accelerate its decarbonization and green infrastructure drive, India aims for 500 GW of non-fossil fuel capacity by 2030, meeting 50% of its energy needs from renewables and achieving net zero emissions by 2070.

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The country also plans to cut its projected carbon emissions by 1 billion tonnes and reduce carbon intensity to under 45% by 2030 through a mix of renewable energy expansion, green hydrogen production, smart grids and improved waste management.

Key initiatives in this sector include scaling solar, wind and offshore wind, advancing green hydrogen under the National Green Hydrogen Mission, modernizing the power grid with smart technologies, expanding EV charging networks, and strengthening municipal waste management through Swachh Bharat Mission-Urban 2.0.

The country's renewable energy capacity has already grown fivefold, from 24 GW in FY15 to 136 GW in FY25, highlighting India's rapid transition toward a low-carbon, climate-resilient economy that balances growth, sustainability, and inclusion.

Alongside energy, EIB Global is extending its climate-linked financing to urban infrastructure and essential services, with an emphasis on inclusion and sustainability.

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“Cleaner water and better sanitation will mean improved quality of life, especially for low-income families who are most vulnerable to poor water and sanitation, fewer hospital visits, and lower healthcare costs," Beer said, adding that these will directly improve living conditions for low-income families, while cutting emissions through better resource efficiency.

The EIB is financing expansion of metro rail services in Nagpur and Pune that is likely to cut transport-related carbon emissions by 22%. Fully electric and integrated with other public transport, the project will ease congestion and improve air quality in two of India's fastest-growing cities.

In Uttarakhand, the bank's $191 million investment, its first dedicated water-sector project in India, will modernize water and sewerage systems in smaller towns, providing piped water to nearly 900,000 people and improved sanitation to 350,000, while incorporating energy-efficient and sustainable water management practices.

“This approach fosters innovation by backing companies and projects that are at the cutting edge of India's clean energy and decarbonization journey, while also creating opportunities for technology and investment flows between India and the EU," Beer said.

“In a nutshell, building a better life for people and generating revenues with green investment go hand in hand," she concluded, pitching for a green-themed inclusive growth plan.

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