Micro loans helping solar power take hold in India

- Advertisement -

India, a country struggling to meet surging demand for power, has turned to small renewable stations on people’s homes to help make sure there’s a continuous supply of power.

In Chemangala, in southern India, silk farmer H.B. Manjunath walks into a back room of a dark thatched roof cabin, flips on a light switch and watches as the cool light illuminates hundreds of milky white silkworms crawling in a wooden box full of mulberry leaves.

The worms need the crispy leaves to survive and spin their silk cocoons, but they’ll only do it when there’s continuous light. Manjunath said that used to be very hard to come by.

- Advertisement -

“We had four or five hours of unscheduled power cuts every day,” Manjunath said. “Sometimes, we would not have it at all.”

But that changed when Manjunath took out a small loan from his local bank to pay for a single solar panel and batteries to store the electricity they generate. The 120-watt system generates enough power to illuminate the silkworms for three hours a day. Manjunath’s not worried even if he doesn’t have grid power for 24 hours.

“The solar works for us,” he said.

Manjunath’s bank loan was part of an effort in the southern state of Karnataka to promote affordable solar lighting in rural areas, part of a larger national movement. India’s government hopes to boost renewable sources of energy and install 20,000 megawatts of solar generating capacity over the next decade, to help fill a huge power gap in the country.

About 500 million people don’t have electricity in the country today. That’s nearly half the population. And even places that are hooked to the grid face frequent blackouts.

Dr. Harish Hande, founder of the Bangalore-based solar company SELCO, said the need for energy is urgent, and not just so people can run their businesses or light their homes.

“It’s very important from a governance point of view, India’s social stability point of view, that we need to provide basic needs,” Hande said.

India’s economy is booming, but conventional sources of electricity just haven’t been able to keep up with the growth in demand in India. That’s one reason Hande spent years trying to convince local banks in Karnataka to offer small loans to rural families for renewable energy systems. In recognition of his efforts, Hande recently was awarded the prestigious Magsaysay Award, sometimes called the Asian Nobel prize.

Hande said solar lighting can have a profound emotional impact on the poor. He said many rural Indians are willing and able to pay for solar and other renewable sources of energy, if the cost can be spread out over time. That’s where the bank loans come in. Silk farmer Manjunath’s solar system cost $400 to install. That’s more than he would have been able to afford at once, but with the loan, he pays less than $7 a month.

- Advertisement -

Most Popular Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here
Captcha verification failed!
CAPTCHA user score failed. Please contact us!

Exclusive

“Capitalise On ‘China Plus Two,’ Where Products With Higher Value Addition Become The Focus”

0
EPIC Foundation aims to transform India into an electronics hardware product nation by collaborating with governments, universities, design houses, and startups. In a conversation...

Exclusive: Electric Two And Three Wheelers In Focus For AMP 2030

0
It seems that the Indian government is going to focus on electric two— and three-wheelers. Taking these beyond Tier 1 and 2 Indian cities...

Report Suggests India’s EV Sales Will Surge, Rising 66% In 2024

0
In 2023, sales of electric vehicles (EVs) in India almost doubled due to increased consumer interest, government actions, better infrastructure, and climate change worries....

Buzz

Honda plans major EV factory construction in Canada,

0
Honda's dedication to this facility reflects its wider ecological objectives, which include a target to only offer zero-emission vehicles by 2040 and to attain...

Scoop: Finayo Plans Rs 100 Cr Financing Fund For EV Dealerships

0
While EV finance is improving in Bharath (Tier 2, 3, 4 cities, and rural India), it is still one of the biggest challenges! Can...

HubSpot Expands Presence In India With New Bengaluru Office

0
With a focus on local engagement and accessibility, HubSpot aims to tap into India's diverse talent pool while catering effectively to the Indian market. HubSpot...

Important Sectors

Log 9 Enters EV Asset Management Via Amphion

0
Commercial electric vehicle asset management and finance is becoming one of India's biggest emerging business opportunities. Here's Log 9 joining the segment! Log 9 has...

Honda plans major EV factory construction in Canada,

0
Honda's dedication to this facility reflects its wider ecological objectives, which include a target to only offer zero-emission vehicles by 2040 and to attain...

Scoop: Finayo Plans Rs 100 Cr Financing Fund For EV Dealerships

0
While EV finance is improving in Bharath (Tier 2, 3, 4 cities, and rural India), it is still one of the biggest challenges! Can...

Macquarie Group To Invest $1.5 Billion In Indian Fleet Electrification With Vertelo Launch

0
Vertelo has entered into a long-term lease agreement with Tata Motors, committing to purchase up to 2000 electric cars within the next three years....

Log9 Launches Amphion And Nexmile To Strengthen EV Landscape

0
The company is focused on tackling key issues in the commercial electric vehicle (EV) industry, such as financing, data analytics, charging infrastructure, and energy...

Manufacturing

Honda plans major EV factory construction in Canada,

0
Honda's dedication to this facility reflects its wider ecological objectives, which include a target to only offer zero-emission vehicles by 2040 and to attain...
Sona Comstar

Sona Comstar Launches Mexico Plant For North American EV Demand

0
The new facility, established to address the increasing demand for premium driveline solutions for BEVs in North America, will focus on manufacturing differential assemblies...

Sterling Tools Inks MoU With Yongin For EV Components Facility

0
Sterling Tools announced that this strategic partnership is anticipated to bring in Rs 250 crore in business over the next five years. This collaboration...

Tata Elxsi-Renesas MCU Boosts EV Cost Efficiency And Market Speed

0
The Motor Control Unit's modular, scalable design facilitates integration across various EV applications, reducing time to market by 40%, lowering design and development costs...

Ramkrishna Forgings To Supply Powertrain Parts To Top US Electric Carmaker

0
Indian producer of rolled, forged, and machined products enter the US electric vehicle market for the first time. Ramkrishna Forgings, an Indian supplier of rolled,...