Solar roof top is expected to get a big push with the new scheme launched by IREDA to provide access to easier and cheaper credit. This scheme is expected to get funding from the current sources of IREDA, new lines from international funding agencies like KFW and the tax free bonds to be raised soon by the Government. As such the corpus available to support this scheme would be significant and has the ability of taking the rooftop solar to a much larger level through attractive credit.
The interest rate for these loans would vary between 9.9% and 10.7%. In fact for the first time, the loans would be available to the smaller solar systems at a single digit interest rate which clearly shows the intent of Government to support roof top solar systems in the country.
The scheme is available for the commercial and industrial consumers while the household consumers are expected to tap the credit through the House loan route.
The roof top owners wishing to install a solution of more than 1 MW can directly approach IREDA for the loan under the new scheme. The smaller rooftops also have the option of availing the IREDA loan by approaching the roof top aggregators. A number of aggregators are expected to be appointed who can pass on the benefit of this loan to smaller roof top systems. However the projects of sizes more than 20 KW would only be eligible under this scheme.
The Energy Supply Companies that wish to get into Power Purchase Agreements with the roof top owners can also approach IREDA for a loan under this scheme. However the limit of aggregated roof top capacity of 1 MW will remain for these companies also.