Developing countries in Asia need to invest $10 billion over the next two years for its production of solar energy can compete on price with conventional sources, said the Asian Development Bank (ADB).
In order to achieve this goal and increase in the capacity of 3,000 megawatts of photovoltaic electricity production from Asian countries, the financial institution announced the creation of a fund of $2,250 million (1,562 million euros).
Most of this amount will be used to finance projects already underway or in preparation in China, India, Pakistan, Uzbekistan and Thailand.
The Asian Development Bank, which previously has given soft loans to various countries in the region beset by its inability to answer even the strong demand for power consumption, estimated that with this new financial support, will ensure that energy production increase by 1,000 megawatts PV in 2012 and another 1,500 megawatts in 2013.
“We want to encourage the rapid growth of solar energy to make it price competitive with conventional sources,” said the president of the bank, Haruiko Kuroda, during a conference in Manila on clean energy.
For its part, S Chandler, president of the ADB’s energy committee, said that increasing production by 3,000 megawatts will cost $10 billion, of the 2,250 will come from loans from the bank.
“Our job is to provide a sufficient number of projects to increase volumes and ensure that manufacturers of clean technologies have incentives to continue investing in research and development,” he said.
The ADB has invested $1.76 million in 29 renewable energy projects last year. According to a report by the ADB, Asian nations in 2030 will have doubled its imports of fossil fuels, compared to 2005 due to the rapid expansion of their economies.