Tata Power Renewable Energy Ltd has joined forces with IndusInd Bank to provide financing solutions for Micro and Small Enterprises (MSEs) looking to install solar energy systems. This collaboration aims to offer collateral-free loans ranging from Rs 10 lakh to Rs 2 crore, as stated by Tata Power Renewable Energy.
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The financing will be contingent upon credit approval from the bank, requiring a 20% margin from the borrowers. These loans feature competitive interest rates and flexible repayment terms of up to seven years, making solar energy more accessible for MSEs.
Deepesh Nanda, CEO and Managing Director of Tata Power Renewable Energy, emphasized that this partnership aims to simplify financing options for MSEs, encouraging them to embrace solar energy. By adopting solar technology, businesses can lower their operational expenses while contributing to a greener energy future.
In the broader context, various public and private lenders have established similar partnerships with solar companies to provide financing options for both commercial and residential solar projects.
Recently, Solex Energy collaborated with the State Bank of India to offer solar financing of up to Rs 10 crore for commercial, industrial, and institutional customers. Tata Power Renewable Energy, a subsidiary of Tata Power, specializes in developing diverse renewable energy projects, including solar, wind, and hybrid systems.