EIB Global Invests $60 Million in India’s First Domestic Energy Transition Fund

In a landmark move to accelerate India's clean energy transformation, the European Investment Bank's development arm, EIB Global, has announced an investment of up to $60 million in the newly launched India Energy Transition Fund — the country's first greenfield energy transition fund managed by a domestic fund manager. The announcement was made in New Delhi by EIB Vice-President Nicola Beer and Subahoo Chordia, CEO of EAAA Alternatives, which manages the fund.

The $300 million fund will serve as a catalyst for private capital investment in sustainable infrastructure, with a strong focus on decarbonisation, renewable energy, and green growth. The initiative underscores the deepening partnership between the European Union and India in driving the global green transition and supporting the shared objectives of the EU Global Gateway strategy.

Boosting India's Energy Transition and Climate Goals

India, one of the fastest-growing economies and energy consumers in the world, has committed to achieving net-zero emissions by 2070 and sourcing 50% of its electricity from renewable energy by 2030. The new India Energy Transition Fund aims to support these national ambitions by mobilising equity and quasi-equity investments into sustainable infrastructure projects and growth-stage companies.

The fund will target projects across critical sectors such as:

• Renewable energy (solar, wind, hybrid projects)

• Energy efficiency and transmission

• Battery energy storage systems (BESS)

• Electric mobility and charging infrastructure

• Circular economy and environmental sustainability, including wastewater management and recycling

By providing growth equity, the fund will help unlock capital for projects in early or mid-development stages, accelerate capacity addition, and strengthen India's domestic clean technology ecosystem.

EIB Global's Strategic Partnership and EU Support

Announcing the investment, EIB Vice-President Nicola Beer described India as "one of Europe's most important partners in the global green transition," highlighting the EIB's long-standing engagement in financing climate-resilient infrastructure in the country.

"By joining forces with the India Energy Transition Fund, we are helping to accelerate renewable energy, strengthen energy security and affordability, and unlock sustainable infrastructure investment across the country," said Beer.

She added that the initiative reflects EIB Global's role under the EU Global Gateway strategy, which aims to mobilise investment in sustainable, inclusive, and transparent infrastructure around the world. "This partnership shows how European capital can deliver real climate action, better living conditions for households, and lower energy prices for communities," Beer noted.

EIB Global's $60 million investment makes it one of the cornerstone investors in the fund, helping to crowd in additional financing from institutional investors, pension funds, and sovereign entities interested in India's clean energy opportunities.

Strengthening Domestic Fund Management and Private Capital Flows

The India Energy Transition Fund represents a milestone in India's financial sector — it is the first energy transition fund managed by a domestic asset manager, EAAA Alternatives. This aligns with the Indian government's policy emphasis on building indigenous expertise in green finance and promoting self-reliant investment ecosystems.

"We are delighted to welcome EIB Global as a cornerstone investor," said Subahoo Chordia, CEO of EAAA Alternatives. "India's energy transition is both a national priority and an attractive investment opportunity. At EAAA, we are focused on building sustainable assets through disciplined investing and strong asset management. EIB Global's partnership adds depth and credibility to this effort."

Chordia highlighted that the fund will foster innovation, attract further private capital, and drive long-term sustainable growth, supporting not just India's decarbonisation goals but also global climate objectives.

Bridging India–EU Collaboration for Sustainable Growth

The EIB, which serves as the European Union's lending arm, has been a consistent development partner for India, supporting projects in renewable energy, urban infrastructure, transport electrification, and water management. The new fund marks a strategic shift toward blended finance and private sector engagement, reflecting the EIB's evolving role under EIB Global, launched in 2022 to strengthen international development cooperation.

Through this investment, EIB Global also aims to facilitate technology and investment flows between India and the European Union, creating opportunities for cross-border partnerships in green technology, innovation, and sustainable finance.

This collaboration builds on earlier EIB-backed projects in India, including support for solar parks, metro rail systems, and sustainable urban infrastructure. The new fund represents a next-generation approach — combining financial innovation, local fund management expertise, and international climate cooperation.

Accelerating Private Investment in Green Infrastructure

The India Energy Transition Fund will act as a bridge between public policy ambitions and private sector capabilities, helping de-risk projects and attract international investors. By investing in greenfield infrastructure and growth-stage companies, it aims to scale up renewable generation capacity, accelerate decarbonisation, and strengthen energy resilience in line with India's Nationally Determined Contributions (NDCs).

The initiative is also expected to play a pivotal role in addressing India's financing gap for clean energy, estimated at over $20 billion annually, by mobilising private capital and enhancing investor confidence in the country's green economy.

A Shared Vision for a Sustainable Future

EIB Global's investment underscores Europe's confidence in India's clean energy leadership and its potential as a global hub for sustainable innovation. By combining financial resources, technical expertise, and policy alignment, the partnership exemplifies how multilateral cooperation can accelerate the transition to a low-carbon, resilient future.

As EIB Vice-President Beer concluded, "Our partnership with India demonstrates that climate and economic progress go hand in hand. Together, we are proving that sustainable infrastructure investment is not just good for the planet — it's good for people and prosperity."