In December 2025, the World Bank(WB) Board of Executive Directors approved about USD 600 million in financing for two multi-sectoral clean air programs in Uttar Pradesh (UP) and Haryana to improve air quality for nearly 270 million people across the Indo-Gangetic Plains and Himalayan Foothills (IGP-HF) under the Regional Air Quality Management Program (RAQMP).
Exam Hints:
- What? World Bank approved financing for clean air programs.
- Total Financing: Approximately USD 600 million
- Where? UP and Haryana
- Grand Support:
- Resilient Asia (RAP): Funded by WB, supported by UK FCDO & Swiss SDC
- ESMAP: Multi-donor trust fund administered by WB
- Uttar Pradesh Clean Air Management Program (UPCAMP):
- Duration: 10 years (including 2-year grace period)
- Budget: USD 299.66 million
- Key Initiatives: Electric buses & three-wheelers, clean cooking for 3.9 million households, vehicle replacement, agricultural and industrial interventions
- Haryana Clean Air Project for Sustainable Development (HCAPSD):
- Duration: 23.5 years (including 6-year grace period)
- Budget: Total Rs 3,646 crore (USD 300 million WB financing)
- Implementer: ARJUN SPV (AI for Resilient Jobs, Urban Air Quality & Next-Gen Skills Council)
- Key Initiatives: Electric buses & three-wheelers, EV charging stations, industrial boiler conversion, agricultural waste management, air quality monitoring, mobilizing private capital
Uttar Pradesh Clean Air Management Program (UPCAMP):
Financing: Total financing of USD 299.66 million with a loan maturity of 10 years and a 2-year grace period.
Approach: Adopts an airshed approach to coordinate with neighboring states and control transboundary emissions.
Clean Transport: Introduces 15,000 electric three-wheelers and 500 electric buses in the districts of UP such as Lucknow, Kanpur, Varanasi, and Gorakhpur.
Vehicle Replacement: Provides incentives to replace 13,500 high-emission heavy-duty vehicles.
Clean Cooking: Supports 3.9 million households in gaining access to clean cooking solutions.
Agriculture: Incentivizes farmers to adopt efficient fertilizer use practices and manage livestock waste.
Industry: Assists Micro, Small, and Medium Enterprises (MSMEs) in transitioning to cleaner technologies.
Haryana Clean Air Project for Sustainable Development (HCAPSD):
Financing: The total project cost is Rs 3,646 crore, including USD 300 million from the WB, Haryana’s contribution of Rs 1,065 crore, and grant support of Rs 83 crore, with a loan maturity of 23.5 years and a 6-year grace period.
Implementing Agency: Coordinated by ARJUN (Artificial Intelligence (AI) for Resilient Jobs, Urban Air Quality & Next-Gen Skills Council), a special purpose vehicle chaired by Rajesh Khullar.
Clean Transport: Deploys 500 electric buses, supports electric three-wheelers, and establishes 200 Electric Vehicle (EV) charging stations in Haryana cities including Gurugram, Sonipat, Faridabad, and Jhajjar to reduce high-density commuter emissions in the National Capital Region (NCR) belt (Delhi).
Vehicle Incentives: Provides incentives for electric three-wheelers and fleet replacement for old three-wheelers and high-polluting vehicles.
Industry: Supports MSMEs in switching industrial boilers to Piped Natural Gas, replacing high-emission diesel generator sets, and installing Continuous Emission Monitoring Systems.
Agriculture: Promotes machinery and technologies for agricultural waste management, productive reuse of paddy stubble, and advanced soil management practices.
Monitoring: Strengthens state-wide air quality and emissions monitoring networks.
Private Capital: Aims to mobilize over USD 127 million from private sources.
Grant Support:
The two programs will also receive grants from:
Resilient Asia: Receives funding from the WB’s Resilient Asia Program (RAP), supported by the United Kingdom’s Foreign, Commonwealth and Development Office (UK FCDO) and the Swiss Agency for Development and Cooperation (SDC).
ESMAP: Receives support from the Energy Sector Management Assessment Program (ESMAP), a multi-donor trust fund administered by the WB.
About Uttar Pradesh (UP):
Chief Minister (CM) – Yogi Adityanath
Governor – Anandiben Mafatbhai Patel
Capital – Lucknow
Wildlife Sanctuary (WLS) – Ranipur WLS, Chandraprabha WLS
