Tata Power Solar Systems partners with Bank of India for solar, EV charging station financing

New Delhi: Tata Power Solar Systems Ltd (TPSSL) on Friday said it has partnered with Bank of India (BOI) to facilitate easy financing for rooftop solar installations and establishment of electric vehicle (EV) charging stations.

The partnership is a significant milestone with Tata Power Solar becoming the first solar company to collaborate with BOI for both solar and EV Charging Station financing and strengthening its leadership as a green energy solutions provider, a statement said.

This collaboration supports the government's initiatives to promote rooftop solar installations, targeting a wide spectrum of customers, including residential users under the PM Surya Ghar Yojana, housing societies, and Micro, Small, and Medium Enterprises (MSMEs).

Under the PM Surya Ghar Yojana, residential customers seeking to install solar systems up to 3 KW can avail loans up to Rs 2 lakh with only a 5 per cent margin money requirement.

These loans are offered at an attractive interest rate of 7.10 per cent per annum, are collateral-free, and have a tenure of up to 10 years.

For installations above 3 KW and up to 10 KW, loans can be availed up to Rs 6 lakh with a 5 per cent margin money requirement.

The interest rates for these loans range from 8.3 per cent to 10.25 per cent per annum, and these are also collateral-free with a tenure of up to 10 years.

Registered housing societies and residential welfare associations can benefit from loans up to Rs 1 crore with a 10 per cent margin money requirement.

All UDYAM-registered MSME customers looking to set up rooftop solar systems or EV charging stations can avail a loan of up to Rs 30 crore.

These loans will have low interest rates starting from 9.35 per cent per annum with a margin requirement of 15 per cent and offer collateral-free options. Borrowers can avail higher repayment tenure of up to 120 months.

Benefits of MSE-GIFT (Green Investment & Financing for Transformation) interest subvention can also be obtained under the loan offering.