Solar will be cost-effective: Gadkari to MSMEs

Bhubaneswar: Union Minister of Micro, Small and Medium Enterprises (MSME) and the Minister for Road Transport  

Highways Shri Nitin Gadkari has invited MSMEs to avail concessional debt finance to install rooftop solar for business efficiency. Rooftop Solar, he said, offers an excellent value proposition to MSMEs by significantly bringing down cost of electricity consumption, which on an average, is up to one-fifth of their operations cost. The programme, inaugurated virtually by the Minister, was held in the presence of Sh. B.B. Swain, Secretary, Ministry of Micro, Small and Medium Enterprises; Sh. Indu Shekhar Chaturvedi, Secretary, Ministry of New and Renewable Energy; Sh. Junaid Ahmad, Country Director India, World Bank; and Sh. Dinesh Kumar Khara, Chairman, State Bank of India.

Addressing a programme promoting awareness about rooftop solar (RTS) among MSMEs, Shri Gadkari said, “I believe there is a strong business case for MSMEs to install rooftop solar and achieve significant savings to achieve the costcompetitiveness. I am confident that MSMEs will stand together in generating and consuming solar power using their rooftops.”

Sh Gadkari, further added that, “A large amount (average INR 8 and higher per unit) is being paid by the MSMEs for power consumption, which contributes to up to one fifth of the overall production costs.

To assist MSMEs in implementing rooftop solar projects, the Ministry is working with the World Bank on a credit guarantee program to make financing accessible to unrated MSMEs.”The Minister also highlighted that rooftop solar contributes in economic recovery as it employs more people than any other renewable energy.

Emphasising the importance of creating an awareness and large-scale adoption of rooftop solar for MSMEs, Shri B.B. Swain, Secretary, said,  More than ever, MSMEs need low-cost power to optimise their production costs, recoup losses due to COVID and remain competitive both in national and international markets. The procurement of low-cost solar power and  generating solar power as prosumers from rooftop solar are two timely and beneficial options for MSMEs.”

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