In a significant development for India’s renewable energy landscape, Orb Energy has partnered with the State Bank of India (SBI), the nation’s largest lender. Through a sublicensing agreement announced in late May 2024, Orb Energy has become an approved vendor under SBI’s Surya Shakti Solar Finance Scheme, a move designed to unlock crucial funding and accelerate the adoption of rooftop solar power across the country.
Unlocking Capital through Solar Power Financing in India SBI & Orb Energy Partnership
The collaboration directly addresses one of the primary hurdles for solar adoption: high upfront costs. The Surya Shakti Solar Finance Scheme provides differentiated loan products tailored for various customer segments, making solar energy a more attainable investment.
For commercial and industrial (C&I) clients, the scheme offers substantial financial support with loans of up to ₹10 crores. These loans require a minimum down payment of just 20% and feature extended repayment tenures of up to 10 years, including a six-month moratorium. Residential customers are also empowered through the program, with access to loans up to ₹10 lakhs for their rooftop solar system installations. This structured financing is pivotal for broadening access to clean energy.
Strategic Impact on National Energy Goals
This partnership is a strategic step towards achieving India’s ambitious goal of 100 GW of rooftop solar capacity. By making financing more accessible, SBI and Orb Energy are lowering the financial barrier for entry. Rooftop solar systems typically offer a rapid return on investment, with payback periods of just 3-4 years for C&I customers and 4-5 years for residential users. Considering solar panels have warranties exceeding 25 years, customers can enjoy decades of virtually free electricity after the initial payback period.
The initiative is expected to stimulate significant investment in the renewable energy sector, contributing to India’s carbon reduction commitments and enhancing its energy security. By empowering businesses and homeowners to generate their own clean power, the collaboration fosters environmental sustainability and long-term economic savings.
About the Partners
Founded in 2006, Orb Energy has established itself as a key player in India’s solar industry. Headquartered in Bangalore, the company has installed over 288 megawatts of clean energy capacity as of April 2024. Its extensive experience, including offering collateral-free loans to small and medium-sized enterprises, positions it as an ideal partner for executing this large-scale financing initiative.
SBI, as a pioneer in financing green energy projects, reaffirms its commitment to India’s energy transition through this scheme. The partnership leverages SBI’s vast financial network and Orb Energy’s solar expertise to create a powerful engine for growth in the rooftop solar market, ultimately benefiting consumers and the environment.
Sources
- Orb Energy partners with SBI under Surya Shakti Solar Finance …
- Orb Energy & SBI Partner for Solar – FIRST Construction Council
- Orb Energy partners with SBI under Surya Shakti Solar Finance …
- Orb Energy and SBI partner to augment rooftop solar financing in India
- Orb Energy, SBI Partners To Provide Solar Loans
- Orb Energy Partners with SBI to Boost Rooftop Solar Financing in India
- SURYA SHAKTI SOLAR FINANCE: Orb Energy & SBI Partnership
- Orb Energy partners up with SBI Surya Shakti Solar Finance Scheme
- Orb Energy signs pact with SBI under Surya Shakti Solar Finance …
