In wake of increasing power crisis in India, the National Bank for Agriculture and Rural Development (NABARD) has come forward to enable people to go for alternatives in the state of Andhra Pradesh. Amid increasing fossil fuel prices and climate change concerns, renewable energy, especially solar power is seen by the people as the best alternative.
In a bid to promote usage of solar power and help people to combat recurrent power cuts, NABARD is providing 40 per cent subsidy for purchasing solar inverters. Ministry of new and renewable energy’s (MNRE’s) ambitious solar power programme, the Jawaharlal Nehru National Solar Mission (JNNSM), mandates for subsidy for solar lighting and solar PV systems of smaller capacity. Nabard will be the facilitating agency for MNRE for providing this subsidy, and it has already entered into an agreement with Andromedar company.
The cost of installing a solar inverter would be around Rs. 30,000 of which NABARD will be providing 40 per cent of the amount as subsidy. The commercial banks will be providing loans for the 50 per cent of the amount while the remaining amount will be borne by the consumer. Those consumers who own their houses are eligible to apply for the loan to the designated agency.
Andromedar has entered into an agreement with Andhra Pradesh Grameena Vikasa Bank which will be providing the loans, and the consumers will have to repay the loan in monthly installments.