It is a Mini Ratna Company established as a Non-Banking Financial Institution and it is engaged in promoting, developing and extending financial assistance for setting up projects relating to new and renewable sources of energy and energy efficiency/ conservation with the motto: “ENERGY FOR EVER”.

Its main objective is to give financial support to specific projects and schemes for generating electricity and/or energy through new and renewable sources and conserving energy through energy efficiency and to maintain its position as a leading organization to provide efficient and effective financing in renewable energy and energy efficiency/conservation projects. Further, all the states in India have established its own renewable energy development agency like New Renewable Energy Development Corporation of Andhra Pradesh Ltd. (NREDCAP) in Andhra Pradesh, Arunachal Pradesh Energy Development Agency (AEDA in Arunachal Pradesh, Assam Energy Development Agency (AEDA) in Assam, Karnataka Renewable Energy Development Limited (KREDL) in Karnataka, Maharashtra Energy Development Agency (MEDA) in Maharashtra, Telangana New Renewable Energy Development Agency (TNREDCL) in Telangana, New Renewable Energy Department, Govt. of MP in Madhya Pradesh, Agency for Non-Conventional Energy and Rural Technology (ANERT) in Kerala, Punjab Energy Development Agency (PEDA) in Punjab, Department of Renewable Energy, Govt. of Haryana (HAREDA) in Haryana, Rajasthan Renewable Energy Corporation Limited (RRECL) in Rajasthan, Gujarat Energy Development Agency (GEDA) in Gujarat, Tamil Nadu Energy Development Agency (TEDA) in Tamil Nadu, Uttarakhand Renewable Energy Development Agency (TEDA) in Uttarakhand, Uttar Pradesh New Renewable Energy Development Agency (UPREDCL) in Uttar Pradesh, etc.

The aim of these is to promote projects for harnessing energy from wind, small-hydro, biomass, solar energy and energy recovery from wastes through private investment. These companies advises the Government of their respective states on policies to be adopted for ensuring a systematic and balanced growth of projects for harnessing renewable energy sources. It also create synergies between industry, finance, government, and technical experts to evaluate challenges and opportunities arising from law and policy; Make politically feasible recommendations to promote clean energy. They also act as a catalyst for change to promote policy and legal instruments that will enhance the market position for renewable energy.