Indian Government Announces Loan Program for Installation of Grid Interactive Rooftop Solar PV Plants

rooftop solar India
Solar Resource Map of India By SolarGIS © 2011 GeoModel Solar s.r.o. (http://solargis.info/doc/71) [CC BY-SA 3.0 (http://creativecommons.org/licenses/by-sa/3.0)], via Wikimedia Commons

The Government of India has set a challenging target of 40,000 MWp of Grid Interactive
Rooftop Solar PV Plants during the next five years. These rooftop solar PV plants will be set up
in residential, commercial, industrial, institutional sectors in the country ranging from 1 kWp to
500 kWp capacity. Such rooftop plants have become economically viable as they produce clean
electricity from the solar energy at about Rs. 7.0(Indian Rupee) per kWh without any subsidy. The Government is providing a subsidy of 15% on these plants to the beneficiaries which makes it further
attractive and viable.


The Indian Government believes this massive target can be achieved with support from banks to provide loans for installation of Grid Interactive Rooftop Solar PV Plants to loan seekers as a part of home loan/ home improvement loan.  The Department of Financial Services, Ministry of Finance has issued following advisory to all Public Sector Banks: “All banks are advised to encourage the home loan/ home improvement loan seekers to install rooftop solar PVs and include the cost of such equipment in their home loan proposals just like non solar lighting, wiring and other such fittings”

So far eight Public Sector Banks are in compliance: Bank of India, Syndicate Bank,
State Bank of India, Dena Bank, Central Bank of India, Punjab National Bank, Allahabad Bank
and Indian Overseas Bank have taken actions and issued the necessary instructions for their
branches.

Persons interested in the installation of Grid-Interactive Rooftop Solar PV Plants that are
seeking a  loan may approach these Public Sector Banks. They may also contact the State
Nodal Agencies implementing renewable energy programmes in their States and the
empaneled Channel Partners for further guidance. Further details are given in the website of
this Ministry www.mnre.gov.in .

ST Staff Writers About ST Staff Writers
This post was prepared by Solar Thermal Magazine staff.

2 Comments

  • Great Initiative. Only problem is getting Loan smoothl, and 15% Subsidy, and process of getting extra energy income from Electricity providers.

  • Nitin shaligram wadbudhe says:

    I have 3500sq ft area on 3rd foor i want produce my own plant of solar electricity plz plz plz contact me 9881111904

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