Solar Rooftop Investment Program (Tranche 4) (ADB-49419-005)

Regions
  • South Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • India
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
C
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
Government of India
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 1,000.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ ADB website

Updated in EWS Jan 19, 2026

Disclosed by Bank Nov 18, 2025

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

As stated by the ADB, on 30 September 2016, the Asian Development Bank (ADB) approved the Solar Rooftop Investment Program to help the Government of India establish a solar rooftop financing facility. The program cost was estimated at $1 billion, of which $500 million was expected to be financed through three multitranche financing facility (MFF) tranches through financial intermediary loans. The MFF comprises (i) $330 million from ADB's regular ordinary capital resources (OCR) and (ii) $170 million from the Clean Technology Fund (CTF) in the form of concessional loans administered by ADB. A technical assistance (TA) grant of $5 million from the CTF is attached to the MFF to support associated institutional capacity and market development. The Punjab National Bank (PNB) was the borrower and executing agency for the tranche 1 of $100 million, which was fully financed by the CTF and administered by ADB and guaranteed by India. The first tranche of MFF with Punjab National Bank (PNB) as the Borrower and Executing Agency (EA) was closed on 11 November 2022 with a net amount of $9.5 million, which was fully financed by the CTF and administered by ADB and guaranteed by India.

On 4 July 2023, ADB approved a major change in the facility to restructure the program which included two additional borrowers viz. the State Bank of India (SBI) and the National Bank for Agriculture and Rural Development (NABARD) for the remaining tranches. On 20 Dec 2024, SBI signed Tranche 2 of $90.5 million (CTF) and NABARD signed Tranche 3 of $150 million ($80 million OCR and $70 million CTF). Based on performance of implementation of the previous tranche 2 by SBI, SBI has submitted Periodic Finance Request (PFR) for the Tranche 4 of $175 million ($150 million OCR and $25 million additional CTF) which is concurred by the GoI. The restructured SRIP intends to primarily finance solar rooftop systems on residential, government establishments, and institutions on standalone or aggregated basis in line with the GoI's Pradhan Mantri Surya Ghar Muft Bijali Yojana (PMSGMBY).

The rationale for the PMSGMBY is to promote renewable energy adoption, reduce electricity costs for households, and increase India's energy self-reliance. This is fully aligned with the rational of the MFF and Tranche 4 as SBI is aiming to use the proposed tranche 4 for financing subprojects under PMSGMBY. After launch of PMSGMBY, India has already crossed more than 6.6 million applications and solarized about 2.3 million households of 6.8-gigawatt (GW) capacity. Based on the successful performance of the previous tranche and high readiness due to strong projections under PMSGMBY scheme, SBI expressed interest in the fourth tranche.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The ADB categorized the project risks as 'FI-C'.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated by Bloomberg, the National Bank for Agriculture and Rural Development (NABARD) operates as a bank. The Bank offers institutional credit, direct finance, and other banking services for agriculture and rural development. NABARD serves communities in India.

State Bank of India provides a wide range of banking and financial services to corporate, institutional, commercial, agricultural, industrial and individual customers throughout India. The Bank also provides international banking to its Indian customers and has operations in other countries.
 
Punjab National Bank provides financial services such as corporate and personal banking, industrial finance, agricultural finance, financing of trade and international banking. The Company provides services to domestic conglomerates, medium and small industrial units, exporters, non-resident Indians and multinational companies.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

ADB Team Leader:

Jigar Arvindbhai Bhatt
Email: jbhatt@adb.org 

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.adb.org/forms/request-information-form

ADB has a two-stage appeals process for requesters who believe that ADB has denied their request for information in violation of its Access to Information Policy. You can learn more about filing an appeal at: https://www.adb.org/site/disclosure/appeals

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main.

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