The Small Industries Development Bank of India (SIDBI) has partnered with TP Renewable Microgrid Ltd., (TPRMG), a wholly-owned subsidiary of Tata Power, to develop an innovative programme that will establish 1,000 green energy enterprises across India.
- The initiative aims to empower rural entrepreneurs and promote sustainable entrepreneurship models throughout India.
According to the pact, after entrepreneurs complete a capacity-building programme organized by TPRMG, SIDBI will provide them a “Go REsponsive, ENterprise incentive (GREENi)”.
i.Through this partnership, rural enterprises will have access to a sustainable energy ecosystem and will be included in India’s commitment to the widespread usage of renewable energy.
ii.This new program will enhance the Ease of Doing Business in India’s rural areas while also enabling low-carbon futures for rural entrepreneurs and economies.
iii. This collaboration is driven by Tata Power’s ‘Sustainable is Attainable’ programme and SIDBI’s Empowering MSMEs campaign.
i.SIDBI will support credit linkages to facilitate finance (loans) for starting or expanding the businesses of rural entrepreneurs through its PRAYAAS initiative or partner institutions.
- The PRAYAAS Scheme assists micro-entrepreneurs in expanding their enterprises, improving their livelihood opportunities, and generating jobs.
ii.TPRMG will select eligible entrepreneurs both within its existing Microgrid network and in new geographies to supply these rural enterprises with high-quality, affordable, dependable, and green energy (solar, wind, and biogas).
iii. SIDBI has integrated its promotional initiatives into a nationwide programme with the help of Swavalamban Connect Kendras, education4entrepreneruship, village/rural/sustainable enterprise development, and innovation.
CEO & MD of Tata Power – Praveer Sinha
Microgrid Programs of Tata Power
i.Through TPRMG, Tata Power manages one of the largest Microgrid programmes in the world and runs a solar-based off-grid producing facility with an energy storage system that provides power to rural areas of India.
- The company intends to build 10,000 Microgrids in the near future.
ii.It has installed over 200 Microgrids, majority of which are located in Uttar Pradesh and Bihar.
- Additionally, a pilot Microgrid programme is being tested in Odisha.
Microgrids and Their Importance
Microgrids are electricity distribution networks that incorporate loads and distributed energy resources such as distributed generators, storage devices, or controlled loads that can be controlled and coordinated while connected to the main power network or while islanded.
- Power from a Microgrid costs around one-fifth of the price of diesel, making it an economical choice for many people in rural India.
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In July 2022, the Indian power giant Tata Power and the Tamil Nadu government signed an MoU to invest around Rs 3,000 crores in a new 4GW (gigawatt) solar cell and 4GW solar module manufacturing plant in the District of Tirunelveli in Tamil Nadu.
About Small Industries Development Bank of India (SIDBI):
Chairman & Managing Director (CMD) – Sivasubramanian Ramann
Establishment – 1990
Headquarters – Lucknow, Uttar Pradesh