Solar Loans

By
Ayush
Bisht

A brief summary of my business idea.

MNREprovides 30% capital subsidy on capital expenditures

for rooftop solar systems for both commercial and
residential entities for systems up to 100 kW. The
government also provides loans at 5% per annum for 50%
of the capital expenditure for 5 years tenure for both
commercial and residential entities. Commercial entities
can claim either capital or interest subsidies.

Jawarharlal Nehru National Solar Mission

Under First Phase of Jawaharlal
Nehru National Solar Mission
(JNNSM) to be implemented
between 2010-2013 200MW
capacity equivalent off grid solar
PV systems and 70 lakh square
meter solar thermal collector
area to be installed in the
country.
The achievements figures are 38.5 MW for off grid PV systems
and 1.2 Lakh square meter solar thermal collector area.

So how can this be made into a business

idea ?

An average government house requires 2.5Kw 4Kw solar

panels with inverter and batteries. (100% off-grid) which
costs around 3-5 lakh rupees.

There is a price variation as there are different prices

quoted by different manufacturers, there are different time
periods of warranty and also, depending on the size of the
house the requirements may be 2.5Kw or 4Kw with 1hours to
8hours of battery backups.
The quality of power packs can be further increased as the
government may be willing to provide a minimum of 30%
subsidy.
We can tie-up with the government to fund in the project.

As a new startup we will not be producing solar

equipment's but purchasing them. If the business turns
profitable we can even setup production facilities to
further decrease costs.

Acting as intermediaries, we would be providing the solar

panels, installing them, and will be available for after
sales services for the customers.

Our customers are therefore both the government and the

consumers.

Finances
Us

Government

Consumer

An average household in Delhi pays 3000 rupees every

month for electricity charges. That makes the yearly cost
around 36,000.

If the consumer is charged the same amount he was

paying to the electric companies and is being provided a
reliable source of energy, he would not object to the idea
of solar panels.

In 5 years, when almost 180,000 is realized by the

consumers, we wont be charging any more fees. The rest
of the amount must be predefined in an agreement with
the government, suppose 40%-50%.

The solar panels have an average life of 25 years.

"If you want to grow, find a good opportunity. Today, if

you want to be a great company, think about what social
problem you could solve."

As a tie-up with the government, the project could also be

started in many government housing societies.

Thank you