Tata Power Solar, SIDBI to offer easy financing options to MSMEs
In a strategic move designed to bolster the adoption of solar energy among Micro, Small & Medium Enterprises (MSMEs) in India, Tata Power Solar Systems Limited (TPSSL), a subsidiary of Tata Power Renewable Energy Limited (TPREL), has inked a Memorandum of Understanding (MoU) with Small Industries Development Bank of India (SIDBI). The MoU aims to facilitate MSMEs in availing financing options for Rooftop Solar PV Plant installations and other associated services. The initiative was announced at the Global SME Finance Forum 2023 in Mumbai.
MoU Exchange Ceremony Graced by Union Minister of State for Finance
The MoU exchange ceremony was held at the Global SME Finance Forum 2023 and was graced by the Union Minister of State for Finance, Dr. Bhagwat Karad. The MoU was exchanged between Dr. Praveer Sinha, CEO & MD of Tata Power, and Sivasubramanian Ramann, Chairman & Managing Director of SIDBI.
TPSSL & SIDBI Introduce 4E Solar Financing Scheme for MSMEs
Under this new partnership, TPSSL and SIDBI are set to introduce the 4E (End to End Energy Efficiency) Scheme that provides customised and innovative financing solutions to MSMEs. This includes competitive interest rates and loan limits specifically tailored to meet the financial needs of the MSME sector.
Big Solar Fest Launched to Promote Solar Energy Adoption
In addition to the financing scheme, TPSSL and SIDBI have launched the Big Solar Fest to offer zero processing fees for the upcoming festival season. “MSMEs are the backbone of India’s economy. Our strategic collaboration with SIDBI will facilitate the ‘ease of opting’ renewable energy in the MSME sector and power its quest to become more efficient and globally competitive,” said Dr. Praveer Sinha, CEO & MD of Tata Power. “I urge them to make the most of ‘THE BIG SOLAR FEST’ and play a pivotal role in building a greener and sustainable business ecosystem in the country,” he added.
Online Application Process Streamlines Access for MSMEs
An online application process has been established to help MSMEs conveniently avail themselves of this new financing scheme. This is in line with SIDBI’s focus on the digitisation of credit access and green financing, as stated by Shri Sivasubramanian Ramann, Chairman & Managing Director, SIDBI.
Building on Previous Successes
This MoU builds upon the positive feedback received from a collateral-free solar financing initiative launched by TPSSL and SIDBI in 2021. Both entities play crucial roles in promoting sustainable energy and financial solutions for MSMEs in India.