IND KISAN SAUR SHAKTHI (PM KUSUM) Additional Component (Component C- Feeder level Solarisation)

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.

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.

Facility proposed

Bank Guarantee against 100% cash margin.

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%)

·          Please refer the Lending Rates link on home page in our Bank’s Website www.indianbank.in.

charges

above Rs.25000/-: 0.50% of the limit sanctioned + Applicable GST.

·         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.