The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, gave its ex-post-facto approval for the Memorandum of Understanding (MoU) on cooperation to establish the Pace Setter Fund – a fund to support the Promoting Energy Access through Clean Energy track of the U.S. – India Partnership to Advance Clean Energy (PACE) between India and United States of America. This MoU was signed at New Delhi on 30th June, 2015.
The signing of MoU will help accelerate commercialization of innovative off-grid clean energy solutions by providing early-stage grant funding, which would allow businesses to develop and test innovative products, systems and business models.
The MoU will help cooperation through technical and commercial innovation and advancement of clean energy in off-grid space. The India-U.S. corpus of about Rs.500 million ($8 million U.S. Dollars) has been drawn on a 50:50 sharing basis.
The Government of India and the United States of America have announced the launch of a new initiative “Promoting Energy Access through Clean Energy (PEACE)”. This ambitious cooperation is a new tract under the U.S.-India Partnership to Advance Clean Energy (PACE), a flagship initiative on Clean Energy that combines resources of several U.S. agencies and Government of India ministries. This has also been listed in the Joint Statement during the visit of the President of the USA to India in January, 2015.
PACE is a flagship initiative initiated between the U.S. and India in 2009, to work jointly on energy security and clean energy, which primly focuses on accelerating the transition to high-performing, low emissions, and energy-secure economies. It endeavours to boost joint efforts to demonstrate the viability of existing clean energy technologies as well as identify new technologies that can increase energy access and security.