India Denies Issuing Advisory to Halt Clean Energy Funding

India's Ministry of New and Renewable Energy (MNRE) clarified on Sunday that it has not advised lenders to suspend or halt financing for the entire clean energy sector. This statement addresses concerns raised by solar manufacturers following an earlier ministry communication. Previously, the MNRE requested the Ministry of Finance to advise lenders to adopt a "calibrated and well-informed approach" when financing new, standalone solar module manufacturing plants. This request stemmed from concerns about potential oversupply, as domestic production capacity currently exceeds demand. The initial advisory caused apprehension within the industry, with manufacturers fearing it could restrict financing for all clean energy initiatives. The MNRE's subsequent clarification specified that the cautious approach applies solely to new solar module manufacturing capacity and is not intended to impede funding for the broader clean energy sector.