World Bank To Fund $600 Million For Clean Air Projects in UP And Haryana

New Delhi – The World Bank, the Government of India and Government of Uttar Pradesh (UP) on Monday (16 March, 2026) signed an agreement to support the Government of UP’s Clean Air Plan which focuses on integrated solutions to improve the state’s air quality and create job opportunities for youth and women.

The Uttar Pradesh (UP) Clean Air Management Program ($299.66 million) will focus on clean air transition across key sectors like transport, agriculture and industry with clean air benefits spilling over to other states. Almost 200 new air quality monitors will be installed with data received from the U.P. Pollution Control Board.

The agreement was signed by Ms. Juhi Mukherjee, Joint Secretary in the Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India; Ms. B. Chandrakala, CEO, Clean Air Management Authority and Secretary of Forest, Environment and Climate Change on behalf of the Government of Uttar Pradesh; and Paul Procee, Acting Country Director, India on behalf of the World Bank.

“Uttar Pradesh is on course to become a $1 trillion economy because we believe that economic growth, productivity, and ecological balance go hand in hand. Through the Uttar Pradesh Clean Air Management Program, our pursuit of prosperity will be measured not by GDP alone, but by clean skies, healthier and more productive citizens, and a flourishing environment that sustains our people and our planet,” said Yogi Adityanath, Chief Minister of Uttar Pradesh.

“The program will leverage almost $150 million in private capital in the transport and MSME sectors,”?said Paul Procee, Acting?Country Director, World Bank India. “By investing in electric buses and 3-wheelers, and emissions monitoring systems and cleaner technologies in industries, the program will help to improve firm productivity and growth, as well as provide greater access to jobs to young men and women in the state.”

The program will also help 3.9 million households gain access to clean cooking. More than 700 brick kilns will transition to resource-efficient technology. Farmers will adopt efficient fertilizer use to improve crop productivity in the state.

The Uttar Pradesh program is part of the World Bank’s Regional Air Quality Management Program in the Indo-Gangetic Plains and Himalayan Foothills (IGP-HF), a global air pollution hotspot. It has a maturity of 10 years including a grace period of two years and will receive support from the multi-donor Energy Sector Management Assessment Program.

Last week on 13th March, 2026 the World Bank, the Government of India and Government of Haryana entered into a similar agreement to support Haryana’s multi-sectoral action plan for improving air quality.

The Haryana Clean Air Project for Sustainable Development Operation ($300 million) will support the Government of Haryana in reducing air pollution in the state with clean air benefits expected to spill over to other states and the National Capital Region. It will strengthen the state’s capacity to monitor and manage pollution by expanding air quality monitoring networks and integrating a state-of-the-art decision support system for data-driven policy making.

The agreement was signed by Juhi Mukherjee, Joint Secretary in the Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India; Dr J Ganesan, CEO, ARJUN Council on behalf of the Government of Haryana; and Paul Procee, Acting Country Director, India on behalf of the World Bank.

“I warmly welcome the World Bank’s support for Haryana’s multi-sectoral action plan aimed at achieving cleaner air across the state. This partnership represents an important step in strengthening our ongoing commitment to improving air quality and safeguarding public health. With the World Bank’s collaboration, we are confident of accelerating the implementation of comprehensive measures that will enhance the quality of life for people across the region,” said Nayab Singh, Chief Minister of Haryana. At the same time, the initiative will help advance clean and sustainable urban mobility systems while creating new and meaningful employment opportunities, particularly for women and youth in both urban and rural areas. This collaboration reflects our shared vision of building a cleaner, healthier, and more inclusive future for Haryana.”

“Through private capital mobilization, the program will leverage $127 million for targeted investments in key sectors like transport, energy and industry to improve liveability for people in the state and the capital city,”?said?Paul Procee, Acting?Country Director, World Bank India. “The program will support job creation by helping 10,000 people, especially women, to be hired as drivers, conductors, and other staff for operating e-buses in Gurugram and Faridabad.”

Around 2,000 MSMEs will receive incentives for cleaner technologies. The program will also provide incentives for farmers to adopt machinery and alternatives that reduce crop residue burning and livestock waste.

The Haryana program is part of the World Bank’s Regional Air Quality Management Program in the Indo-Gangetic Plains and Himalayan Foothills (IGP-HF), one of the world’s most severe air pollution hotspots, and aims to deliver benefits for public health, climate mitigation, and sustainable economic growth. It will have a maturity of 23.5 years including a grace period of six years.

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