In a major move to accelerate India’s clean energy transition, Tata Power Renewable Energy, a subsidiary of Tata Power, has partnered with state-run Canara Bank to promote the adoption of rooftop solar systems under the government-supported PM Surya Ghar Scheme. This collaboration aims to make sustainable energy solutions more accessible by offering affordable financing options to households across the country.
Affordable Loans for Rooftop Solar Systems
The initiative focuses on simplifying the adoption of residential solar installations by providing financial assistance tailored to varying energy needs. Loans of up to ₹2 lakh are available for solar systems with a capacity of up to 3 kW. These loans come with attractive terms, including a 7% annual interest rate, no collateral requirements, and a 10-year repayment period, requiring only a 10% upfront margin.
For larger solar systems ranging from 3 kW to 10 kW, Canara Bank offers loans of up to ₹6 lakh. These loans require a 20% margin and come with an annual interest rate of 10%, also spread over a 10-year repayment period.
Incentives Under the PM Surya Ghar Scheme
The PM Surya Ghar Scheme offers installation subsidies to encourage rooftop solar adoption. Households can avail of a 60% subsidy for solar units up to 2 kW capacity and a 40% subsidy for capacities between 2 kW and 3 kW. However, the subsidy is capped for systems up to 3 kW, making it a lucrative option for small-scale solar adopters.
Driving Renewable Energy Objectives
Highlighting the significance of the collaboration, Deepesh Nanda, CEO and MD of Tata Power Renewable Energy, stated:
“Our partnership with Canara Bank marks a significant step in accelerating the adoption of rooftop solar systems nationwide. By offering affordable financing options under the PM Surya Ghar Scheme, we aim to make clean energy solutions accessible to every household, fostering a sustainable energy ecosystem and advancing India’s renewable energy objectives.”
India has set ambitious goals to achieve 500 GW of installed capacity from non-fossil fuel sources by 2030, and this partnership represents a crucial step towards that target.
Tata Power’s Renewable Energy Footprint
Tata Power Renewable Energy has made significant strides in advancing clean energy solutions. The company’s renewable portfolio boasts a total capacity of 10.9 GW, with 5.5 GW of projects under implementation. Of its operational capacity of 5.4 GW, 4.4 GW comes from solar installations and 1 GW from wind energy.
The Road Ahead
The collaboration between Tata Power Renewable Energy and Canara Bank underscores the growing importance of decentralized energy solutions in achieving India’s renewable energy goals. With affordable financing, government-backed subsidies, and a focus on sustainability, the initiative aims to empower Indian households to embrace clean energy while contributing to the nation’s energy security.
This partnership is poised to pave the way for a more sustainable and energy-efficient future in India by enabling greater adoption of rooftop solar systems.
