HSBC signs pact to fund India green energy projects

NEW DELHI, March 18 (Reuters) - HSBC (HSBA.L) (0005.HK), Europe's biggest bank, and India's Bureau of Energy Efficiency (BEE) will jointly explore financing of energy service companies to help fight climate change, officials said on Thursday.

Energy efficiency is a key focus in India's national climate change policy, unveiled in 2008, which lays out a roadmap to a green economy and opens up a market worth more than $15 billion by 2015.

"(The memorandum of understanding)... is an expression of HSBC India's desire to work in partnership with the government on issues surrounding energy efficiency and climate change," Stuart Davies, CEO, HSBC India said at a conference.

The deal will see HSBC finance BEE-accredited firms working on energy efficiency projects in buildings, small and medium enterprises, municipal lighting and in the agriculture sector.

India hopes to implement about 1,200 energy efficiency projects over the next year.

"This move is a great boost to our plans to remove barriers that have stunted financing to the energy efficiency projects," said Ajay Mathur, the director general of BEE.

India, the world's fourth-largest greenhouse gas emitter, though still low on per-capita emissions, is under pressure to cut pollution to battle climate change.

It has set a goal for slowing the growth of its greenhouse gas emissions, saying it was willing to rein in its "carbon intensity" -- the amount of carbon dioxide (CO2) emitted per unit of economic output -- by between 20 and 25 percent by 2020, from 2005 levels. (Reporting by Bappa Majumdar; Editing by Aradhana Aravindan) (bappa.majumdar@thomsonreuters.com; Reuters Messaging: bappa.majumdar.reuters.com@reuters.net, +91-11-41781003)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))