Indian Bank & Tata Solar Power to finance Central Rooftop Solar scheme

The Chennai-based public sector Indian Bank has signed an agreement with Tata Power Solar Systems to provide loans under the PM  Surya Ghar Muft Bijli Yojana. The Indian Bank will provide loans to customers to install rooftop solar systems on their houses. Tata Power Solar Systems is a leading Indian company that installs rooftop solar power plants to generate electricity.

PM  Surya Ghar Muft Bijli Yojana

The PM Surya Ghar Muft Bijli Yojana is a central government scheme that Prime Minister Narendra Modi launched on 13 February 2024. 

The Scheme aims to provide free electricity to one crore households in India.

Households can get 300 units of free electricity per month by installing a rooftop solar electricity generating unit.

The government of India has allocated Rs 75,021 crore for the  PM Surya Ghar Muft Bijli Yojana.   

Eligibility for the Scheme 

• The PM Surya Ghar Muft Bijli Yojana is for Indian citizens who own a house with a roof suitable for installing solar panels.  
• The household must have an electricity connection.
• Also, the beneficiary household must not have been provided with any other subsidy for solar panels.

Features of the Scheme 

• Under the PM Surya Ghar Muft Bijli Yojana, the government provides a subsidy for households to install rooftop solar units.
• For solar units up to 2KW capacity, a subsidy of 60% of the solar unit cost is provided and 40% of additional system cost for systems between 2 to 3 KW capacity. 
•  No subsidy is provided for rooftop solar units above 3 KW capacity. 

According to Prime Minister Narendra Modi, more than 1 crore households registered for the PM-Surya Ghar Muft Bijli Yojana within two months of the scheme's launch.

Assam, Bihar, Gujarat, Maharashtra, Odisha, Tamil Nadu, and Uttar Pradesh are the leading states, with more than 5 lakh households each having registered for the scheme. 

Indian Bank 

Indian Bank is a public sector bank which was set up as a private bank in 1907. 

India Bank was one of the 14 private banks nationalised by India's government in 1969.

 In 2020, the public sector of Allahabad Bank merged with the Indian Bank.

The Indian Bank has 5835 branches in India and three overseas branches in Sri Lanka and Singapore.

Headquarters: Chennai, Tamil Nadu 

MD and CEO: Shanti Lal Jain

Tagline: Your Own Bank 

Tata Power Solar System Limited

Tata Power Solar is India’s largest integrated solar company. It is Tata Power's subsidiary company.

Headquarters: Bengaluru, Karnataka.

Chairman: Dr Praveer Sinha