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South and Central Asia: U.S.-India Energy and Climate Change Cooperation

The United States and India pledged to strengthen and expand the U.S.-India Partnership to Advance Clean Energy (PACE), to work together toward a successful outcome of UN climate negotiations in Paris in December 2015, and to expand bilateral cooperation on climate change.   

  • Ex-Im Finance MOU:  The Export-Import Bank of the United States (U.S. Ex-Im Bank) and the Indian Renewable Energy Development Agency (IREDA) have agreed to enter into an MOU which would make available up to $1 billion in U.S. Ex-Im Bank financing to support the export of Made-in-America renewable energy goods and services in connection with clean energy projects in India.  The MOU supports India’s goal of transitioning to a low-carbon and climate-resilient energy economy, while creating and sustaining renewable energy industry jobs in the United States.  U.S. Ex-Im Bank and IREDA intend to establish a framework for cooperation under the MOU to increase financing and mutually beneficial business opportunities in support of India’s energy initiatives, including the doubling of the upcoming phase of Jawaharlal Nehru National Solar Mission (JNNSM) to 3,000 megawatts.
  • Energy Smart CitiesResponding to the Government of India’s goals of bringing 24x7 power to all, accelerating the deployment of solar technology, and improving living standards, the U.S. and India plan to engage in a new partnership on energy smart cities that will showcase the policies, technologies, and business and finance models needed to turn clean energy into a commercial opportunity that will draw in private capital and allow commercial scale-up to take off.
  • “Greening the Grid” - ensuring reliable delivery of clean energy through a stronger, more flexible power system:  This new, multi-million dollar, multi-year effort will directly support India’s 24x7 energy access goal through a suite of activities aimed at enabling large-scale deployment of clean energy and energy efficiency. This initiative will enable India to absorb significant increases in renewable energy generation and position India as a leader in global efforts to reform power systems.
  • Expanding PEACE, the U.S.-India Off-Grid Clean Energy Initiative:  To further support India’s energy access goals, the United States and India agreed to expand the Promoting Energy Access through Clean Energy (PEACE) initiative to include a new private sector investment initiative with a goal of enabling energy access for 1,000,000 people and a new focus on mainstreaming super-efficient, high-quality, and cost-effective appliances so this energy access can support a broader range of services.  These activities will significantly strengthen the business case for a scaled-up private sector response to the demand for energy in un-served areas.
  • Clean Energy Finance Forum:  The United States and India plan to create a bilateral Clean Energy Finance Forum through which public and private sector officials from both sides could explore specific opportunities to mobilize finance for clean energy.
  • Energy Security:  The United States and India will enhance cooperation and information exchange on global energy trends and mutual interests in market stability and promotion of sustainable economic growth.  The U.S. government is evaluating new activities that would help India reduce imports, become more efficient, and meet new international environmental standards for fuels. 
  • Hydrofluorocarbons (HFCs):  The leaders recalled previous bilateral and multilateral statements on the phase-down of HFCs.  They recognized the need to use the institutions and expertise of the Montreal Protocol to reduce consumption and production of HFCs, while continuing to report and account for the quantities reduced under the UN Framework Convention on Climate Change.  They pledged to urgently arrange a meeting of their bilateral task force on HFCs prior to the next meeting of the Montreal Protocol to discuss issues such as safety, cost and commercial access to new or alternative technologies to replace HFCs.  The two sides would thereafter cooperate on next steps to tackle the challenge posed by HFCs to global warming.
  •  U.S.-India Partnership for Climate Resilience:  The United States and India intend to identify opportunities to jointly advance capacity for strengthening climate resilience, including through development of actionable information, data and tools to help national, state, and local officials with climate adaptation planning.
  • Air Quality:  The United States and India announced a new program of work on air quality to expand joint efforts that deliver human health, environmental, and climate benefits.  Possible focus areas include improving air quality monitoring and source identification, assessing the co-benefits of mitigation options, and aiding urban areas in responding to episodic high-level air pollution events.
  • U.S.-India Climate Fellowship Program:  The two governments announced their intention to create a new U.S.-India Climate Fellowship Program in order to build long-term capacity to address climate change.
  • Reducing Emissions from Deforestation and Forest Degradation:  The United States and India agreed to take continued steps to advance the Green India Mission.  Among these, the United States will work with India to explore the possibility of placing a Forest Fellow in the Ministry of Environment, Forests, and Climate Change.

Building on a Strong Foundation

The United States and India have taken significant strides together on energy and climate, including under the U.S.-India Energy Dialogue and the U.S.-India Joint Working Group on Combating Climate Change.  Since 2009, the U.S.-India Partnership to Advance Clean Energy (PACE) has mobilized nearly $2.4 billion in public and private clean energy finance to support India’s clean energy goals and $125 million for cutting-edge research on solar, biofuels, and energy efficient buildings through the U.S.-India Clean Energy Research and Development Center.   This partnership includes the PACE-D Technical Assistance Program, which is accelerating deployment of clean energy technologies and policies at the national and state levels, Promoting Energy Access through Clean Energy (PEACE), which aims to harness commercial enterprise to bring clean energy access to unserved and underserved Indian villages, the U.S.-India Collaboration on Smart and Efficient Air Conditioning and Space Cooling to drive rapid uptake of high-efficiency technologies, potentially avoiding the need to build at least 75 large power plants, and the U.S.-India Energy Cooperation Program (ECP), a public-private partnership between U.S. member companies and the governments of the United States and India.   The United States and India also collaborate extensively on energy technology and policy through the multilateral Clean Energy Ministerial (CEM).


The United States and India are cooperating on reducing emissions from deforestation and forest degradation (REDD+) through the Partnership for Land Use Science (Forest-PLUS) Program, which is designing new tools, techniques, and methods for forest management.  Through the Cereal Systems Initiative for South Asia (CSISA) program, India has improved the capacity of more than 350,000 farmers to adapt to the impacts of climate variability and change in Eastern India, and helped farmers bring more than 67,000 hectares of land under climate-resilient management practices.  In addition, the National Oceanic and Atmospheric Administration is cooperating with the India Ministry of Earth Sciences on monsoon prediction efforts that have enabled India to increase their forecast lead times by an entire day.