ADB withdraws Rs 36.5 billion loan for Assam solar project

The Asian Development Bank (ADB) has withdrawn its loan approval of Rs 36.51 billion (USD 434.25 million) for the 500 MW phase of the Khagarijan Solar Power Project in Assam. The withdrawal comes in response to local protests over the project’s development.

ADB had initially approved the loan in October 2024. The project is being implemented by Assam Power Development Company Limited (APDCL) under the “Mukhya Mantri Sauro Shakti Prokolpo” scheme.

The full project involves setting up 1,000 MW of solar power capacity on 6,611.57 acres in Khagarijan village, located in the Karbi Anglong district. It is being developed on an engineering, procurement, and construction (EPC) basis.

The future of the project now depends on alternate funding or a resolution of the land and community concerns.