IND KISAN SAUR SHAKTHI (PM KUSUM) Additional Component (Component C- Feeder level Solarisation)
IND KISAN SAUR SHAKTHI (PM KUSUM) Additional Component (Component C- Feeder level Solarisation)
| Target Group | Individual farmers, group of farmers, cooperatives, Panchayats, Farmer Producer Organizations (FPO), Water User Associations (WUA)
In case the farmers/ group of farmers/ cooperatives/ panchayats / Farmer Producer Organizations (FPO)/ Water User associations (WUA) etc. are not able to arrange equity required for setting up the Renewable Energy Power Plant (REPP), they can opt for developing the REPP through developer(s) or through local DISCOM, which will be considered as RPG (Renewable Power Generator) in this case and form a part of the Target Group subject to other covenants as per the scheme. PPA (Power Purchase Agreement) with Distribution Companies (DISCOM) is mandatory under the scheme.
|
| Purpose
|
Feeder level solarisation is to be carried out under this component for solarisation of grid-connected agricultural pumps. REPP shall be established on Barren / uncultivable land/ Pastureland and Marshland backed by PPA (Power Purchase Agreement) with Distribution Companies (DISCOM).
Agricultural land is also permitted under the scheme provided that solar plants are installed in stilt fashion (i.e. raised structure for installation of Solar panels) and with adequate spacing between panel rows for ensuring that farming activity is not affected. |
| Type of
Facility proposed |
Term Loan
Bank Guarantee against 100% cash margin. |
| Quantum of
finance |
Project cost should be in accordance with the cost as prescribed by MNRE/State Govt. from time to time. Maximum 70% of the project cost (LTV @70%)
|
| Margin | 30% of the project cost. |
| Repayment Period | maximum period 15 year including moratorium period (Maximum moratorium period 24 months). |
| Rate of Interest |
· Please refer the Lending Rates link on home page in our Bank’s Website www.indianbank.bank.in.
|
| Upfront fees / Processing
charges |
· Upto Rs.25000/ : Nil
above Rs.25000/-: 0.50% of the limit sanctioned + Applicable GST. |
| Security Norms | Primary:
· Mortgage of Project Land and Building (except forest land). · Hypothecation of Plant & Machinery · Hypothecation of Receivables based on Tri-partite agreement to be executed between DISCOMS, Borrower and Bank for receipt of sale proceeds of power produced to Escrow Account with our Bank. Collateral: · Assignment of PPA. · 100% cash margin for BG facility · Personal /Corporate Guarantee (as the case may be) of the Proprietors/Partners /Promoters /Directors /Parent Company etc. · Explore possibility for coverage under CGTMSE Scheme by registering as MSME. · Collateral Security to be taken wherever RoI concession is sought. · Loan Amount upto Rs. 2.00 Cr shall be covered under AIF scheme, wherever eligibility of project. |
| Scheme Validity | Till 31.03.2027 (PPAs/NTPs are signed before 31.12.2025) & as and when extended by MNRE from time to time. |
Disclaimer
The content has been translated from the English version using indigenously developed Artificial Intelligence capabilities (Bhashini, developed by MeitY). In the event of any ambiguity or doubt, users are advised to refer to the original English content for clarification.
All information, materials, advice, suggestions, illustrations, notifications, circulars, and other items on this website are collectively referred to as the “Content.”
Indian Bank assumes no responsibility for any errors, omissions, inaccuracies, or typographical mistakes that may appear in the Content. Indian Bank does not provide any warranty or representation regarding the Content and expressly disclaims all liabilities.
Any action taken by users on the basis of such Content shall be entirely at their own risk and responsibility.
Indian Bank reserves the right to modify, correct or update any part of the Content at any time.
No portion of the Content may be displayed or printed without prior written approval of Indian Bank.
As the translated Content has been generated using AI, we encourage suggestions for improvement.
Suggestions may be submitted at:
https://bhashini.gov.in/bhashadaan/en/home