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World Bank clears USD 305 million for Haryana’s clean air initiative

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Chandigarh: The World Bank has approved USD 305 million in financial assistance for the Haryana Clean Air Project for Sustainable Development (HCAPSD), a major initiative aimed at significantly improving air quality and making the state pollution-free by 2030.

According to a state government spokesperson, the approval follows a high-level meeting held in November last year between Haryana chief minister Nayab Singh Saini and senior World Bank officials. During the discussions, the World Bank agreed to extend a loan of Rs 2,498 crore towards the project, which has a total estimated cost of Rs 3,646 crore.

The state government will contribute Rs 1,065 crore, while an additional Rs 83 crore will be provided as a grant.

The HCAPSD aims to deliver measurable improvements in air quality through coordinated interventions across multiple sectors, including transport, industry, agriculture, urban management and scientific monitoring.

The project will be implemented through a dedicated Special Purpose Vehicle, ARJUN (AI for Resilient Jobs, Urban Air Quality & Next-Gen Skills Council). The SPV will oversee planning, execution and real-time monitoring. ARJUN is chaired by Rajesh Khullar, chief principal secretary to the chief minister, who previously served on the World Bank board of directors representing India, Bhutan, Bangladesh and Sri Lanka from 2020 to 2023.

A major portion of the project cost, Rs 1,688 crore, has been allocated for transport-sector initiatives aimed at reducing vehicular emissions and promoting clean mobility. This includes the deployment of 500 electric buses across Gurugram, Faridabad, Sonipat and Jhajjar at a cost of Rs 1,513 crore.

Other measures include phasing out high-pollution vehicles, support for vehicle scrapping, installation of 200 EV charging stations (Rs 20 crore), incentives for electric three-wheelers (Rs 100 crore) and financial support to replace older three-wheelers with electric models (Rs 45 crore). These activities will be jointly carried out by Gurugram Metropolitan City Bus Limited, Haryana City Bus Service Limited and the departments of transport and industries.

An additional Rs 563 crore will be deployed by the industries and commerce department to promote cleaner industrial operations, real-time emission control and improved compliance. This includes Rs 100 crore in incentives for shifting industrial boilers to piped natural gas, Rs 330 crore for replacing or upgrading high-emission diesel generator sets and Rs 33 crore for installing Continuous Emission Monitoring Systems in key industrial units.

Meanwhile, Rs 746 crore has been earmarked for agriculture-sector interventions and advanced soil management through the departments of agriculture and panchayats.

Officials said the combined measures are expected to significantly reduce emissions across the state and strengthen Haryana’s long-term clean air framework.

(with inputs from agencies)


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CityBuzz Click Staff

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