Question
According to a Sovereign green bond framework approved
by the Finance Ministry, the funds raised through the green bonds, would not be used to finance which of the following project?Solution
The government’s maiden green bond issuance will focus on financing public projects across nine areas, including renewable energy, clean transportation, climate change, sustainable water and waste management and pollution control, according to a framework approved by the Finance Ministry. The funds raised through the green bonds, however, won’t be used to finance hydropower plants that are larger than 25 MW, nuclear projects and any biomass-based power generation with biomass originating from protected areas. The framework will bolster India’s pledge towards the nationally determined contribution targets adopted under the Paris Agreement, and help draw global and domestic investments into stipulated environmental projects.
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