On Monday, the governments of India and the UK announced a joint-venture that will drive enhanced research and development in the renewables space.

SeeNews reported that the India-UK Clean Energy R&D Centre is one of the research partnerships announced by the two governments.

The centre will be focused on solar energy storage and integration with a joint investment of $12.4 million.

Renewables receives increased R&D

According to SeeNews, the centre and a collaborative R&D programme on energy efficient building materials will help drive a reduction in the countries’ carbon footprints and contribute to India’s Smart Cities programme.

Theresa May, UK’s prime minister, and India’s prime minister, Narendra Modi, also “looked forward to other Indian entities, including Energy Efficiency Services Limited and the Indian Renewable Energy Development Agency preparing to issue green bonds including rupee-denominated bonds in London in the coming weeks,” a joint media statement announed.

The comment was in relation to an agreement to accelerate the partnership between the two countries in financing investment in Indian infrastructure, media said.

India bumps up renewables

Bloomberg New Energy Finance (BNEF) released a report last week, which states that India is in a position to install over 10GW of renewables annually from 2017, as large-scale renewables, rooftop solar and off-grid sectors show significant growth.

According to a BNEF statement: “The South Asian country now has the third biggest power sector in the world after China and the US. As economic growth continues and population rises, it faces the triple challenge of meeting growing demand, cutting pollution and offering modern energy to more than 300m people not connected to the power grid.”

According to the report, total annual investments in utility-scale projects crossed the $10 billion mark last year.

“The Indian government’s ‘175GW renewables by 2022′ target includes 135GW of utility-scale projects. This implies that cumulative capacity would have to increase more than three times between 2016 and 2022, from 39GW in 2015 to 135GW, requiring investment of nearly $100 billion (an average $14 billion/year),” BNEF said.